Lee Jae-myung's Victory Sparks South Korean Market Surge

South Korean financial markets experienced a significant boost on Wednesday in the wake of liberal candidate Lee Jae-myung's victory in the presidential election. With promises to revitalize the nation's economy and implement corporate reforms, Lee's win propelled the KOSPI stock index up by 2.7% to a decade-long high while the won currency appreciated by about 1%.

This wave of optimism extended beyond Asia, as the MSCI index tracking emerging markets climbed by 1.2%, marking its strongest performance in three weeks. Polish stocks also showed improvement, rising 0.4% following days of losses, amid speculations concerning the National Bank of Poland's pending decision on interest rates, which a majority anticipates will remain unchanged.

Meanwhile, the broader landscape for emerging market currencies remained stable, unaffected by U.S. trade tensions under President Donald Trump's administration, which includes recent steel and aluminum tariffs. As the week progresses, international attention turns to upcoming discussions between Trump and China's President Xi Jinping, aimed at addressing their ongoing trade issues.

(With inputs from agencies.)