Emerging market equities declined the most sharply in three weeks over concerns regarding potentially higher US interest rates.
The MSCI Emerging Markets Index declined 0.6 per cent as many investors expect the US Federal Reserve to raise interest rates this month.
“Given heightened expectations, the only slightly softer than forecast headline U.S. non-farm payroll print has hit the dollar, especially as October’s print was revised lower and average earnings also missed forecasts. The only upside to the data was the unemployment rate," said Christopher Shiells, of Informa Global Markets in London.
Meanwhile, demand for riskier assets is likely to increase as Italy rejected the referendum put forth by Prime Minister Matteo Renzi. The country voted overwhelmingly to not change the constitution and Renzi has promised to resign.
Read more at Bloomberg.