From Hungary to Mexico, Traders Bail on EM: ‘No Questions Asked’
- Stock indexes for EM EMEA, LatAm tumble after gains in Asia
- Measure of currency volatility rises to highest since December
Mexican 500 peso banknotes depicting the image of Benito Juarez, Mexico's former president.
Photographer: Cesar Rodriguez/BloombergThis article is for subscribers only.
From Hungary to Mexico, emerging markets stocks, bonds and currencies were whiplashed on a volatile Monday as global investors shunned riskier assets amid fears about the health of the US banking system.
Stocks from the Middle East to Africa and Latin America tumbled toward their lowest levels this year, while the cost to hedge against default in emerging markets soared to the highest levels since November. A gauge of volatility posted a three-month high. The Mexican peso slid to the weakest in a month versus the dollar, while Hungary’s forint sank against the euro.