Currencies Sink Most in Year as Argentine Peso Gains: Inside EM
- MSCI EM currency gauge trades near its 200-day moving average
- Equities halt 6-day advance as technology companies slump
UBS Says Markets View EM as `Catching a Falling Knife'
Emerging-market currencies slumped the most in a year as the U.S. dollar climbed with Treasury yields and geopolitical concern escalated, adding to an already fragile outlook in some of the major developing countries. Stocks halted a six-day rally, led by technology companies.
Twenty three out of 24 emerging-market currencies tracked by Bloomberg fell, and MSCI’s broad gauge briefly slipped below its average price of the past 200 days -- an indicator seen as a harbinger for more losses. Turkey’s lira hit a record low after President Recep Tayyip Erdogan said he plans to take more responsibility for monetary policy if he wins an election. South Africa’s rand sank as the country sold its first Eurobond under President Cyril Ramaphosa. Meanwhile, Argentina’s peso posted the only gain among peers amid a rollover auction of as much as $30 billion of notes.