Emerging-Market Stocks Rise for Second Day as Commodities Rally – Bloomberg

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Emerging-market stocks rose for a second day and currencies strengthened as a sustained rally in commodity prices buoyed the export outlook for many developing nations.

Energy shares led Asian equities higher as Brent crude backed up an overnight jump before U.S. government data forecast to show a drop in stockpiles. Technology stocks were the next-best after Apple Inc. advanced in the U.S. as Warren Buffett’s Berkshire Hathaway Inc. disclosed a $1.1 billion stake in the iPhone maker. South Korea’s won was the best-performing currency, followed by gains in Malaysia’s ringgit and Turkey’s lira.

Oil has rallied more than 10 percent in nine days amid signs production cuts will ease a global glut that helped push the commodity to a 12-year low in January, and advances in prices of other raw materials are also aiding many developing nations. While U.S. retail sales beat estimates last week, the odds of the Federal Reserve raising interest rates next month are just 4 percent, according to futures contracts, providing a reprieve for emerging markets

“Some investors are speculating the rise in oil prices is an indication that global economic activity isn’t as weak as they thought,” said Nescyn Presinede, a trader at Rizal Commercial Banking Corp. in Manila. “Signs also show that growth in the U.S. isn’t yet sufficient for a rate increase in June.”