Get 40% Off
🤯 This Tech Portfolio is up 29% YTD! Join Now to Get April’s Top PicksGet The Picks – Just 99 USD

Emerging Markets Fall Ahead Of FOMC

Published 09/15/2014, 11:47 AM
Updated 03/05/2019, 07:15 AM

Emerging-market stocks fell for an eighth day and currencies slid on speculation the U.S. is moving closer to raising interest rates and on signs China’s economy is slowing. Russia’s ruble weakened to a record for a third day.

The MSCI Emerging Markets Index decreased 0.8 percent to 1,053.12 at 12:24 p.m. in London, set for the longest rout since the 10-day period ended Nov. 13. China Life Insurance (NYSE:LFC) Co. helped drag Hong Kong-traded Chinese shares to a five-week low. Russia’s benchmark MICEX Index retreated as much as 1.2 percent, while stock markets in the Czech Republic and Saudi Arabia lost at least 0.8 percent.

Data on Chinese industrial production and retail sales over the weekend missed estimates, underscoring the risks of a deeper slowdown. Some of the factors that becalmed developed nations are raising risks for emerging markets, the Bank for International Settlements said.

“The overarching theme in terms of weakness in emerging markets of late has been the interest rate/currency nexus: the substantial move of the dollar and U.S. interest-rate expectations,” John Lomax, an emerging-market strategist at HSBC Holdings (NYSE:HSBC), said by phone from London. “The sanctions environment remains a constraint on the outlook for the Russian equity market.”

via Bloomberg

Original Post

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.