Stocks, FX take a hit as Trump wins US election
Chinese banks sell dollars to cushion yuan's drop
Ukraine's dollar sovereign bonds rally
Mexican peso slumps to two-year low
Equities in India, Turkey jump as oil prices drop
MSCI EM stocks, FX index lose 0.6% each
Adds graphic, amends text to reflect Trump win
By Johann M Cherian
Nov 6 (Reuters) -Emerging market currencies and stocks suffered broad losses on Wednesday after a U.S. election win by Republican Donald Trump sent the dollar sharply higher and raised the spectre of fresh trade barriers.
MSCI's index tracking currencies in major developing markets .MIEM00000CUS was on track for its biggest one-day drop since February 2023, down 0.6%, as the dollar strengthened over 1.4% and U.S. Treasury yields spiked.
A gauge for emerging market stocks .MSCIEF also lost 0.6%, and was close to a one-month low.
Trump recaptured the White House, securing more than the 270 Electoral College votes needed to win the presidency, Edison Research projected on Wednesday, defeating Vice President Kamala Harris.
Shaniel Ramjee, co-head of multi asset at Pictet Asset Management, said some high-beta currencies like the Mexican peso were reacting negatively to the likelihood of tariffs, with the Republicans also winningcontrol of the Senate.
A Republican Senate would mean less resistance to Trump's fiscal plans, which analysts say could stoke inflation, keep the dollar elevated and pressure inflows into emerging markets.
Mexico's peso MXN= weakened 2.6% to touch a more than two year low, trading last at 20.6 to the dollar. The Latin American country could face trade and immigration barriers, as Trump has threatened a 200% surcharge on auto exports to the United States.
Expectations that Trump could impose tariffs of 60% or more on goods from China, sent domestic Chinese stocks .SSEC, .CSI300 lower, while Hong Kong's Hang Seng index .HSI slid 2.2%.
The yuan CNH= weakened 1.1% - its biggest one-day drop since Oct 2022, amid reports that lenders were selling dollars to cushion the yuan's decline.
Ukraine's hryvnia EUREAH= strengthened 2% and international sovereign bonds gained with some traders betting that a Trump presidency could mean a quicker end to the Ukraine-Russia war.
India's rupee INR=IN hit a record low and South Africa ZAR= declined 1.3%, while Turkey's lira TRYTOM=D3 firmed 0.2%.
Equity indexes in India .NSEI, .BSESN added over 1%, while Turkish stocks .XU100 jumped about 2.8%, as prices of crude oil - a key resource for the net importers - dropped over 1%.
In central and eastern Europe, Hungary's forint EURHUF= led declines with a 0.8% drop against the euro to mark a fresh 22-month low, while Poland's zloty EURPLN= weakened 0.3% ahead of a central bank interest rate decision later in the day.
Israel's shekel ILS= firmed 0.4%. Trump's stance on sanctions is perceived as detrimental to the country's arch rival Iran, along with others such as Lebanon, Iraq, and Yemen.
For GRAPHIC on emerging market FX performance in 2024 http://tmsnrt.rs/2egbfVh
For GRAPHIC on MSCI emerging index performance in 2024 https://tmsnrt.rs/2OusNdX
Emerging currencies stumble over Trump win https://reut.rs/40zyyiE
Reporting by Johann M Cherian and Bansari Mayur Kamdar in Bengaluru; editing by Philippa Fletcher, Christina Fincher and Sharon Singleton
Aset Terkait
Berita Terbaru
Pengungkapan: Entitas XM Group menyediakan layanan khusus eksekusi dan akses ke Fasilitas Trading Online kami, yang memungkinkan Anda untuk melihat dan/atau menggunakan konten yang tersedia pada atau melalui situs, yang tidak untuk mengubah atau memperluas, serta tidak mengubah atau memperluas hal tersebut. Akses dan penggunaan ini selalu sesuai dengan: (i) Syarat dan Ketentuan; (ii) Peringatan Risiko; dan (iii) Pengungkapan Penuh. Oleh karena itu, konten disediakan hanya sebagai informasi umum. Anda juga harus ketahui bahwa konten Fasilitas Trading Online kami bukan sebagai ajakan atau tawaran untuk untuk melakukan transaksi apa pun di pasar finansial. Trading di pasar finansial mana pun melibatkan tingkat risiko yang signifikan pada modal Anda.
Semua materi yang diterbitkan di Fasilitas Trading Online kami hanya untuk tujuan edukasi/informasi dan tidak boleh mengandung nasihat dan rekomendasi finansial, pajak investasi atau trading, catatan harga trading kami, penawaran, permintaan, transaksi dalam instrumen finansial apa pun atau promo finansial untuk Anda yang tidak diminta.
Konten pihak ketiga apa pun, serta konten yang disiapkan oleh XM, seperti opini, berita, riset, analisis, harga, informasi lain atau link ke situs pihak ketiga yang tersedia "sebagaimana adanya", sebagai komentar pasar umum dan bukan menjadi nasihat investasi. Sejauh konten apa pun ditafsirkan sebagai penelitian investasi, Anda harus memperhatikan dan menerima bahwa konten tersebut tidak dimaksudkan dan belum disiapkan sesuai dengan persyaratan hukum yang dirancang untuk mempromosikan kemandirian riset investasi dan dengan demikian akan dianggap sebagai komunikasi pemasaran di bawah hukum dan peraturan yang relevan. Mohon dipastikan bahwa Anda telah membaca dan memahami Notifikasi pada Riset Investasi Non-Independen dan Peringatan Risiko kami mengenai informasi di atas, yang dapat diakses disini.
