*

South Korea's public finances no longer a credit rating

'strength': Fitch

*

Indonesia finmin says monitoring economic impact of

geopolitics

*

Hong Kong stocks post best week in 18 months

*

Emerging market stocks up 1.0%, currencies flat

By Bansari Mayur Kamdar

April 26 (Reuters) - Russia's rouble hovered near

one-month high against the dollar on Thursday ahead of a central

bank decision where the Bank of Russia is expected to keep

borrowing costs unchanged, while emerging market bourses tracked

the rally in global stocks.

The MSCI index for emerging market stocks climbed

1.0% by 0841 GMT, and was on track for its best weekly gains

since July 2023.

Heavyweight Hong Kong shares closed 2.1% higher,

posting their best weekly performance in 18 months, while China

stocks also bounced after strategists from global investment

houses upgraded their views on Chinese shares.

Foreign investors poured money into the Chinese A-share

market with the daily purchase amount via the stock connect

programme hitting a record high.

Tech-heavy indexes in South Korea and Taiwan

gained more than 1% each supported by Alphabet and

Microsoft's ( MSFT ) strong earnings overnight on Wall Street.

"Last week's sell-off left global tech trading at just 22.5

times 2025 forecast earnings, down from close to 25 times

earlier this year," said Mark Haefele, chief investment officer

at UBS Global Wealth Management, adding that the pullback in

tech has left valuations looking less demanding and offers an

attractive entry point.

Nevertheless, in the week to Wednesday, emerging market

equities saw outflows for their third week and outflows also

resumed in emerging market debt, according to data from BofA

Global Research.

Meanwhile, global ratings agency Fitch said South Korea's

public finances are no longer a strength for its sovereign

credit rating but are now a neutral factor requiring near-term

efforts to contain the rise in debt.

Emerging market currencies index was flat

and on track for marginal gains as the dollar retreated.

The rouble was steady against the dollar

ahead of its rate setting meeting where the central banks is

expected to hold rates at 16% with the gradual slowdown in

inflation preventing it from easing borrowing costs more

quickly.

South Africa's rand gained 0.3% against the dollar,

while the Turkish lira weakened slightly.

Turkey will take steps in fiscal policy in the coming period

to support disinflation, Finance Minister Mehmet Simsek said,

adding that disinflation will begin in the second half of the

year.

Currencies in central and eastern Europe were rangebound

against the euro, with Hungary's forint set to snap

it's two-week losing streak after its 50 basis points rate cut

earlier this week.

In Singapore, the central bank saw inflation "falling more

discernibly" in the fourth quarter and into 2025.

Indonesia's finance minister said they were monitoring

impact on the domestic economy of the recent escalation in

geopolitical tensions in the Middle East and delays in U.S.

monetary easing.

HIGHLIGHTS:

** Vietnam delays launch of new stock trading system

** Pakistan central bank expected to hold rates on Monday

ahead of IMF deal, Reuters poll

** Argentina central bank cuts interest rate to 60% as

inflation hopes grow