* Shares down 1.4 pct, off six-mth high
* Russian stocks fall on poor Chinese data
* Czech crown down 1.1 pct, large selling rumoured
By Alessandra Prentice
LONDON, Feb 10 (Reuters) – Emerging stocks fell from
this week’s six-month peaks on Friday, as market gloom over
Greek debt talks weighed on risk appetite, while emerging
currencies were also broadly down, ending a rally which had
boosted many to multi-month highs.
The market retreat comes amid fresh complications over
Greece, with euro zone finance ministers demanding the
debt-laden state make further budget cuts before they approve a
new 130 billion euro ($172.95 billion) bailout.
The MSCI emerging stocks index was down 1.4
percent, heading for its largest daily fall since mid-December,
but remained well above its 2011 lows. It has risen nearly 15
percent since then, as improved investor sentiment boosted
riskier emerging stocks.
Appetite for emerging assets should remain robust over the
next few weeks as extra liquidity from the European Central Bank
reenergises the market, said Roderick Ngotho, CEEMEA FX
strategist at RBS, adding that Greece’s bond redemption deadline
on March 20 could test the rally.
“Today’s just a pull-back … until we get into the Greece
dates in March we don’t see much cause for a correction, but
there may be more pullbacks on profit-taking,” Ngotho said.
Continued…
