Hard-Landing Dread Eclipses Brief Rally in Emerging Stocks

  • Growth risks in focus as Fed, other central banks hike rates
  • Developing-market stocks just ended longest skid in 4 years

Customers purchase vegetables at a supermarket in Shanghai, China.

Photographer: Qilai Shen/Bloomberg
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The nascent rebound from a two-year low in emerging-market stocks is faltering on concern the Federal Reserve and other global policy makers will fail to orchestrate a soft landing for the world economy.

“It’s too early to say this is the bottom -- too early to say the only way is up,” said Wei Li, global chief investment strategist at BlackRock Inc. “We need to see a dovish pivot from the Fed” before buying-the-dip returns, she said.