Highly Contagious Delta Variant Ripples Through Emerging Markets
- Probability of a ‘Black Swan event’ is rising, Macquarie says
- Asian stocks, S.African rand, Aussie dollar among assets hit
A medical staff member checks on Covid-19 patients in an ICU ward at a hospital in Bogor, Indonesia.
Photographer: Aditya Aji/AFP/Getty Images
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The delta variant of the coronavirus may herald a bout of weakness for markets across the globe, with few analysts predicting a swift rebound as tighter curbs on movements cloud the growth outlook.
The MSCI Asean Index of equities headed for its weakest close in seven months, while Indonesia’s rupiah and the Thai baht slid to multi-month lows. Renewed lockdowns prolonged declines for the Australian dollar and the South African rand, which is this month’s worst performer among emerging-market currencies.