Emerging markets continued their decline for the fifth straight day on bond yield unease in the US and Japan.
Investors and analysts expect the Federal Reserve to push the interest rate hike back to December next week and the Bank of Japan may adjust negative rates and asset-buying policies.
The US yield curve is at its highest since July, while Japan's rose to 86 basis points, its highest since March.
the MSCI Emerging Markets Index dipped 0.2 per cent to 5 per cent below 13-month highs it hit in the previous week.
"The tailwind for asset prices is not as strong as it was. We have had more hawkish rhetoric from the Fed, which has led to profit taking in risky assets and all the high-beta stories in emerging markets have taken a backseat," said Peter Kinsella, head of emerging markets research at Commerzbank.
Read more at Reuters.