Emerging market stocks lost 0.03%. MSCI’s broadest index of Asia-Pacific shares outside Japan closed 0.38% higher, while Japan’s Nikkei rose 0.51% to end a three-day week.
Treasury yields remained little changed in a week where the 10-year traded in a 5-basis-point range.
The relapse in sentiment has hit emerging market debt, especially countries with weak credit ratings. Argentina’s newly restructured bonds have lost around 25%, making it the worst return to markets since Greece in 2012, while plenty of other countries have seen 10% slides.
China’s government bonds gained acceptance into one of the world’s most coveted bond benchmarks, the FTSE Russell WGBI. CGBs will be introduced late next year.
In the currency markets, the dollar index climbed for the fourth time this week and was set for its strongest weekly showing since April.
The dollar index rose 0.314% on Friday, with the euro down 0.38% to $1.1628.
The Japanese yen weakened 0.18% versus the greenback at 105.59 per dollar, while sterling was last trading at $1.2732, down 0.13% on the day.
Demand for the greenback was boosted in part by Washington’s failure to create a stimulus package and concerns ahead of the U.S. election.
The Russian rouble sank to a near six-month low against the dollar. The rouble lost 1.10% versus the U.S. dollar at 78.17.
The dollar’s strength this week has also battered commodities, with gold set for its biggest weekly drop in six. On Friday, spot gold dropped 0.2% to $1,864.96 an ounce.
Silver tumbled 14% this week so far, a drop not seen in over six months. The spot price fell 0.58% to $23.07 on the day.
Oil prices fell and were set for a weekly decline mostly due to mounting worries about the impact on fuel demand of a widespread resurgence in coronavirus infections. U.S. crude recently fell 0.02% to $40.30 per barrel and Brent was at $41.94, flat on the day.
Source: Saudi Press Agency