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\t\t<\/span><\/p>\n <\/span><\/p>\n \n \t\t\u00a9 Thomson Reuters 2011 All rights reserved<\/p>\n","protected":false},"excerpt":{"rendered":" (The final London emerging report for 2011 will be on Friday, Dec 23. The report will resume on Tuesday, Jan 3.) * Emerging market gains from ECB auction peter out * Hungarian forint steady after earlier falls from SP cut * Kazakh BTA bonds rally, Czech crown retreat halted By Sebastian Tong LONDON, Dec 22 […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_genesis_hide_title":false,"_genesis_hide_breadcrumbs":false,"_genesis_hide_singular_image":false,"_genesis_hide_footer_widgets":false,"_genesis_custom_body_class":"","_genesis_custom_post_class":"","_genesis_layout":"","ngg_post_thumbnail":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":false,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2}},"categories":[1],"tags":[830,2370,183],"class_list":{"0":"post-6369","1":"post","2":"type-post","3":"status-publish","4":"format-standard","6":"category-south-africa","7":"tag-news","8":"tag-reuters","9":"tag-south-africa-2","10":"entry"},"jetpack_publicize_connections":[],"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/posts\/6369","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/comments?post=6369"}],"version-history":[{"count":0,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/posts\/6369\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/media?parent=6369"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/categories?post=6369"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/tags?post=6369"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}(The final London emerging report for 2011 will be on Friday,\nDec 23. The report will resume on Tuesday, Jan 3.)\t\n * Emerging market gains from ECB auction peter out\n * Hungarian forint steady after earlier falls from SP cut\n * Kazakh BTA bonds rally, Czech crown retreat halted\n\n By Sebastian Tong\t\n LONDON, Dec 22 (Reuters) - Emerging market gains\npetered out on Thursday after two sessions while Hungary's\nforint steadied from the previous day's near two percent fall\nafter the country suffered its second ratings cut to 'junk' in\nunder a month.\t\n Bonds issued by Kazakh state bank BTA rallied after it said\nit would propose further debt restructuring in January while the\na three-session retreat in the Czech crown was halted after the\ncentral bank signalled the likelihood of a rate hike.\t\n The European Central Bank's first-ever three-year liquidity\noperation had eased funding pressures faced by the continent's\nlenders, but the ensuing sentiment boost fizzled out as\nattention returned to the long-term intractability of debt\nproblems faced by euro zone governments.\t\n After rising for the past two sessions, the key emerging\nequity benchmark was flat on the day with emerging\nsovereign debt unchanged over U.S. Treasuries to trade\nat 371 bps. \t\n \"We're seeing a lack of momentum and liquidity is obviously\npoor. Market reaction to the ECB (auction) has been\ndisappointing. It was a confidence booster but the ECB move was\nnot enough to provide flow to risky assets.\" said Benoit Anne,\nhead of emerging markets strategy at Societe Generale.\t\n \"Investors used the rally to take profits and the market\nsold off by yesterday afternoon. Banks will use the ECB money to\nmeet their financing needs for the first quarter and won't go\ninto riskier assets yet.\"\t\n Having lost nearly a quarter of their value this year,\nIndian shares rose for their second straight day to\ntheir highest in nearly a week while Chinese shares \nended down for the fourth consecutive session to languish at\ntheir weakest in over 2-1\/2 years.\t\n The Thomson Reuters emerging European share index\n eked out a 0.2 percent gain though Hungarian\nshares were down 1.6 percent to stay near their weakest\nlevels in a week. \t\n \t\n HUNGARY AT 'JUNK'\t\n Hungary saw its credit rating cut to 'junk' late Wednesday\nby Standard Poor's (SP) with the rating agency warning that\ngovernment policy had become unpredictable and less credible.\t\n The move, coming after a Nov. 24 downgrade by Moody's, sent\nHungarian five-year credit default swaps sharply higher to a\nthree-week high. There were some signs of a selloff in its bonds\nand the country had to pay more for a treasury bill auction on\nThursday. \t\n \"The move is slightly surprising given that SP previously\nindicated that it wants to wait till the conclusion of the\n(EU\/IMF) talks. But following the break-up of the informal talks\nlast week and increasing pressure from the EU, it is\nunderstandable,\" UniCredit said in a note.\t\n \"After this, we think it is highly likely that the Fitch\nwill follow very soon. As most of the Hungarian external debt is\nheld by dedicated emerging market bond funds, which do not have\nstrict rating limit around the investment grade, we do not\nexpect significant forced selling.\"\t\n The forint rose 0.4 percent against the euro after\nfalling nearly 2 percent fall on Thursday. Versus the Swiss\nfranc, the Hungarian unit stayed close to three-week low.\t\n The forint's regional peers also stayed firm with the Polish\n zloty at near one-month highs and the Czech crown\n a touch firmer.\t\n The Czech central bank held interest rates on Wednesday but\nsaid crown weakness and other inflation pressures meant its next\nmove was likely to be a hike. \t\n Romania's leu edged higher for the second successive day to\na three-month high.\t\n Ahead of a Friday central bank meeting in Russia, the rouble\n firmed to a two-week high against its euro-dollar\nbasket. Analysts expect rates to be left unchanged.\n \t\n Meanwhile, BTA bonds rose after the majority state-owned\nbank, the largest of Kazakhstan's banks to default in 2009, said\nit would propose a second debt restructuring at a shareholder\nmeeting on Jan 26. \t\n BTA bonds maturing July 2018 were up 0.88 to\n29.88. \t\n International investors in the debt included Ashmore,\nAberdeen Asset Management and BNP Paribas Investment Partners at\nend-Sept 2011, according to Emaxx data.\t\n The cost of insuring Kazakh sovereign risk was quoted lower\nfrom recent escalated levels after deadly weekend riots in the\ncountry's western oil-producing region. \t\n\t\n (Additional reporting by Carolyn Cohn; Editing by John\nStonestreet)<\/pre>\n