Emerging Markets on ‘Tenterhooks’ as Chinese Selloff Deepens
- Investors assess latest trade rhetoric from officials
- Biggest stock ETF in developing nations sinks to 11-month low
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The rout in emerging markets deepened as investors sifted through the latest remarks from the Trump administration on protectionist measures, with both currencies and stocks on pace for their worst quarter since September 2015.
Every developing-nation currency tracked by Bloomberg retreated and a measure of shares extended a three-day drop to 3.6 percent. The Chinese yuan traded offshore slid for a 10th straight day in the longest losing streak since March 2014, while the Hungarian forint sank to a record low as the central bank maintained a dovish monetary stance. Argentina’s Merval led global equity declines after disappointing economic data. The risk premium on sovereign bonds over U.S. Treasuries widened.