SAO PAULO/LONDON, Feb 10 (Reuters) – Latin American stocks
and currencies weakened on Monday as traders corrected an
overdone rally, though volumes were light ahead of Janet
Yellen’s first congressional testimony as the Federal Reserve’s
Brazil’s real ended a four-day advance against the
dollar, losing 1.13 percent and erasing the previous two
sessions’ gains. The Chilean and Mexican pesos
also weakened modestly.
SAO PAULO/LONDON (Reuters) – Brazil’s real weakened on Monday as traders corrected an overdone rally, while Hungary’s forint dropped on concerns the central bank may cut interest rates further.
The real ended a four-day advance against the dollar, losing 0.66 percent and nearly erasing the previous two sessions’ gains. The Chilean and Mexican pesos also weakened modestly.
LONDON, Feb 10 (Reuters) – The lira fell half a percent
against the dollar and the forint dropped 1 percent versus the
euro on Monday on concern about monetary policy in Turkey and
The backdrop for emerging assets was generally positive,
however, after weak U.S. jobs data on Friday reduced
expectations that the Federal Reserve might speed up the rate of
tapering of its monetary stimulus.
SAO PAULO/LONDON, Feb 7 (Reuters) – Emerging market
currencies pared gains on Friday as traders reconsidered the
impact of January’s U.S. payroll numbers on the Federal
Reserve’s plans to reduce its monetary stimulus program.
U.S. employers hired far fewer workers than expected in
January and job gains for the prior month were barely revised
up, data showed on Friday.
LONDON (Reuters) – Ukraine’s hryvnia jumped almost 2 percent on Friday against the dollar and forward markets softened depreciation bets after the central bank imposed market curbs to stem runaway depreciation in the currency.
Broader emerging markets also firmed, with stocks up for the second straight day and currencies flat to stronger against the dollar, but trade was thin pending U.S. jobs data that can shift expectations about the pace of the Fed’s stimulus withdrawal.
LONDON, Feb 3 (Reuters) – Ukraine’s hryvnia currency could
slide further after losing more than 5 percent in January if its
weakness shakes households’ faith in the safety of their bank
deposits and prompts them to seek refuge in dollars.
The central bank appears to have eased its tight grip over
the hryvnia since mid-January, allowing it to tumble as
much as 2.5 percent against the dollar last Friday – the
currency’s biggest one-day fall since October 2009.
RIO DE JANEIRO/LONDON (Reuters) – Investors resumed their flight from emerging markets on Friday as the latest round of central bank actions proved insufficient to offset concern about rising economic and political risks in many developing countries.
Currencies, stocks and bonds fell in developing nations, from Asia to Europe to Latin America, with the Russian rouble sliding 1 percent to five-year lows. The turmoil also appeared to engulf central European countries such as Poland and Hungary, which fared relatively well in the first sell-off phase earlier this month.
LONDON (Reuters) – Fresh waves of turbulence engulfed emerging markets on Friday, with a renewed slide in the Russian rouble and a sharp rise in bond yields across the board despite policymakers’ efforts to staunch the bleeding.
Signs grew that stress is increasingly spreading to central European countries such as Poland and Hungary, which fared relatively well in the first sell-off phase earlier this month.
LONDON, Jan 31 (Reuters) – Emerging markets steadied in
holiday-thinned trade on Friday, with currencies such as the
rouble and lira trading just off multi-year lows after dramatic
central bank action to counter the biggest sell-off in years.
Many markets in Asia were closed for the lunar New Year
holidays, cutting trade volumes. MSCI’s benchmark equity index,
of which China comprises a fifth, traded just off 4-1/2 month
lows though stock markets in Russia and Turkey were
almost 1 percent lower .
LONDON (Reuters) – A growth-crushing downward spiral looks imminent for emerging markets, threatening to turn back the tide of foreign investment that flooded into developing countries on the premise of fast economic expansion.
Countries in Asia, Latin America and emerging Europe are being forced to raise interest rates sharply to stave off currency collapses and a wholesale exodus of foreign investors. Turkey, India and South Africa jacked up rates this week, heaping pressure on others to follow suit.