S&P 500 Rebounds While Emerging Stocks Extend Worst Start

By Stephen Kirkland and Lu Wang

February 4, 2014 at 9:31 PM UTC

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U.S. stocks rose, with the Standard & Poor’s 500 Index rebounding following the biggest drop since June, as Treasuries retreated and Turkey’s lira led gains among emerging-market currencies. A gauge of stocks in developing nations extended its worst-ever start to a year.

The S&P 500 added 0.8 percent after sinking yesterday to a three-month low. Ten-year Treasury yields climbed five basis points by 4:29 p.m. in New York to 2.63 percent. The lira and South African rand strengthened at least 1.7 percent against the dollar and Australia’s currency jumped more than 2 percent. The MSCI Emerging Markets Index lost 0.8 percent, bringing its 2014 drop to 8.3 percent, the most since at least 1988. Japan’s Topix Index fell 4.8 percent, entering a correction with Hong Kong’s Hang Seng Index. Natural gas rallied more than 9 percent.