Emerging-Market Currencies Extend Their Steepest Rally This Year
- Chile, Mexico currencies lead fourth day of gains for EM
- Emerging-market stocks rally a third day, led by Asia
A Turkish national flag hangs above the Arasta Bazaar in Istanbul, Turkey.
Photographer: David Lombeida/BloombergThis article is for subscribers only.
Emerging-market currencies extended their biggest four-day rally of 2024 as traders cautiously hiked wagers for interest rate cuts from the Federal Reserve this year, fueling demand for riskier assets.
The benchmark gauge for developing-nation currencies rose 0.2% Monday, bringing its advance in the past four sessions to 0.8%. Currencies in Chile and Mexico led the gains, with the former hitting its strongest level in more than three months as copper climbed. An index for developing market stocks added 0.5% to the highest in almost two years. The gains were led by stocks from India, China and Saudi Arabia.