Stocks hold at 1-year highs

Emerging market stocks have held at one-year highs and currencies strengthened as investors continued their search for high yield in more risky assets.

The MSCI Emerging Market Equity Index gained 0.3 per cent due to recently released inflation data revealed a more stable outlook and factory prices fell at their lowest pace in over two years.

"China is doing fairly well, and that was what we expectedConstruction activity in China is fairly good. Growth is okay in many emerging markets and inflation pressures are under control - that allows many emerging markets to lower interest rates which is good for stocks and growth," said Jakob Christensen, head of EM research at Danske Bank.

Chinese stocks gained 0.7 per cent, along with other Asia markets such as South Korea gained 0.6 per cent to nine-month highs.

Meanwhile, troubled Turkey saw it's stocks gain 0.7 per cent while Russia's gained 0.3 per cent.

Read more at Reuters.