Emerging Assets Move Past Venezuela Risk to Scale Fresh Highs
People fly kites along the Bund across from buildings in Pudong's Lujiazui financial district in Shanghai, on Jan. 6.
Photographer: Raul Ariano/BloombergEmerging-market stocks hit a fresh record high and currencies edged higher as investor focus shifted away from geopolitical risks posed by the US intervention in Venezuela and bullish sentiment around the global asset class strengthened.
MSCI Inc.’s benchmark EM equity index rose 1.1%, with Chinese stocks climbing to multi-year highs. A similar gauge tracking EM currencies edged higher on Tuesday even as the dollar gained. In fixed income, a gauge of emerging-market bond risk fell to the lowest in 13 years as of Monday.