Emerging stocks retreat with most currencies

Kuala Lumpur - Emerging-market stocks declined for the first time in six days amid the highest valuations in a year and most currencies weakened on speculation recent gains were overdone.

The MSCI Emerging Markets Index slid 0.3% as Philippine equities led the retreat, slumping from a one-year high.
 Indian shares sank and Korea halted its longest equity rally since March.

China, Hong Kong and Taiwan markets are shut for holidays.

Currencies from India, Turkey and South Africa dropped.

Emerging markets have rallied in the past week as dismal US jobs data curbed bets on an interest-rate increase, while gains in oil and signs that China’s economy is on the mend underpinned demand for riskier assets.

The regional equity index’s 14-day relative-strength index rose above 70 on Wednesday; a level that frequently precedes a reversal, while the currency gauge was close to that threshold too.