Emerging-Market Assets Weaken as US Rate-Cut Hopes Vanish

Emerging-market assets fell on Thursday as expectations for interest rate cuts in the US this year evaporated, while continued attacks in the Middle East weighed on sentiment.

Currencies in the developing world traded mixed, though a gauge tracking them ended the day down 0.5%. Several Latin American currencies, including the Brazilian real and Mexican peso advanced in the afternoon after oscillating between gains and losses earlier.