Emerging Markets in Limbo Amid Global Uncertainty

Emerging market currencies and stocks remained largely static as global uncertainty loomed, driven by investor caution ahead of the upcoming rate decision in Poland. Political uncertainties in Thailand and Indonesia further dampened market sentiment, with safe-haven assets like gold maintaining record highs.

Swinging between gains and losses, the Turkish lira responded to inflation data falling short of expectations. Local equities experienced a notable decline, marking their longest downturn in over three months, following a political shakeup in Istanbul that unsettled investors.

The Polish zloty held steady, eyeing its longest winning streak against the euro in months, while a potential interest rate cut of 25 basis points was on the table. Issues like a looming deficit and upcoming meetings at the Federal Reserve kept global investors cautious.

(With inputs from agencies.)