Emerging markets lit up green as Federal Reserve Chair Jerome Powell nodded at the progress made against US inflation, adding fuel to Wall Street’s bullish outlook on developing assets.
MSCI Inc.’s emerging-market currency benchmark soared to the highest since April on Thursday, extending gains after Powell hinted that the Fed may have only a few more interest-rate hikes to go. A similar gauge of developing-economy equities also jumped, bringing its year-to-date gain to 10%. The won led the advance among Asian currencies with a rise of as much as 1.2%.
