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EMERGING MARKETS-EM stocks rise as South Korea tech rout reverses; FX edges up
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EMERGING MARKETS-EM stocks rise as South Korea tech rout reverses; FX edges up
Jun 25, 2026 3:25 AM

* South Africa's rand edges lower as gold prices extend

losses

* Micron-fueled U.S. chip rally lifts Asian peers

* EM stocks gain 1.5%, FX inches up 0.1%

By Ragini Mathur and Avinash P

June 25 (Reuters) - Emerging-market equities regained their

footing on Thursday after two straight sessions of losses, as a

chip-led rebound in South Korea helped revive risk appetite,

while currencies edged higher against a subdued U.S. dollar.

MSCI's index of emerging-market equities jumped

1.5% after sliding about 4% over the previous two sessions.

South Korea's benchmark KOSPI was again in the

spotlight as investors rushed back into the market. A historic

rout in heavyweight technology shares earlier in the week had

dragged the index down 10% in its steepest one-day fall in more

than a year.

The KOSPI closed 5.4% higher on Thursday, with index

heavyweight SK Hynix jumping 13%.

The rebound tracked a rally in U.S. chip stocks after

Micron's earnings and outlook reinforced confidence in

the memory-chip sector, with gains spilling over into Asian

peers.

Sentiment was further supported after SK Hynix

said it planned to raise up to $29.4 billion through a U.S.

stock-market offering, in what would be among the biggest

listings globally.

Elsewhere, South Africa's rand edged 0.1% lower for a

fourth straight session as gold, a key export for the country,

extended losses.

Falling precious metals prices will continue to impact the

rand, said Geoff Yu, EMEA macro strategist at BNY, but ruled out

"aggressive underperformance".

"There are institutional factors that could prove

beneficial, such as South Africa's inflation mandate and central

bank resilience."

Traders were also awaiting South Africa's producer inflation

data due later in the day.

Meanwhile, the U.S. dollar edged lower on Thursday,

easing some pressure on emerging-market currencies. The

greenback was still headed for its sharpest monthly gain in

almost a year, as traders bet a resilient U.S. economy would

keep short-term interest rates elevated.

Tumbling oil prices offered further relief to investors,

with crude - a key import for many emerging economies -

extending declines to levels last seen before the start of the

U.S.-Iran war.

The broader EM currency gauge inched 0.1%

higher after five consecutive sessions of losses.

In central Europe, currencies were largely weaker against

both the euro and the dollar, while regional equities gained.

Romania's equity benchmark hit a record high, rising

1.1%, while the leu was subdued.

The Hungarian forint depreciated 0.3%, extending

its retreat from multi-month highs. Hungary's central bank cut

interest rates earlier this week and flagged further easing in

the coming months.

"The region has come through the energy shock relatively

unscathed, and the recent fall in oil prices has improved the

growth outlook in Central Europe," said analysts at Capital

Economics.

"...but central banks will follow diverging paths. We expect

further rate hikes in Czechia but cuts in Hungary."

HIGHLIGHTS:

** Thai export growth slightly below forecast in May,

shipments to China fall

** Moody's cuts Gabon's outlook to 'negative' on rising debt

risk

** Brazil plans largest panda bond debut to 'test' waters

For TOP NEWS across emerging markets

For CENTRAL EUROPE market report, see

For TURKISH market report, see

For RUSSIAN market report, see

(Reporting by Ragini Mathur and Avinash P in Bengaluru; Editing

by Joyjeet Das)

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