Emerging Stocks Advance as Stimulus Bets Spur China Equity Rally
- Equity valuations increase to highest level this year
- Rupiah rallies for 10th day in longest streak since 2010
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Emerging-market equities advanced for a fourth day, rallying to the highest level in two months, as speculation that China will increase stimulus and better-than-forecast U.S. economic data outweighed concern that global growth is slowing.
Financial stocks led gains on the MSCI Emerging Markets Index as China Construction Bank Corp. rallied 3.3 percent in Hong Kong. The Shanghai Composite Index jumped the most since November. The Ibovespa rose to the highest since mid-December in Sao Paulo. A gauge of developing-nation bonds climbed to a three-month high, and currencies in South Korea and Brazil strengthened. Indonesia’s rupiah extended its longest stretch of gains since 2010.