Emerging market equities and currencies fell Thursday after oil surged following
attacks on key Middle East energy facilities. MSCI’s EM Index dropped 2%, its
largest decline since March 9, while an EM currency gauge fell 0.6%, hitting its
lowest level this year. The Thai baht, Philippine peso, and Malaysian ringgit
led currency losses. Goldman Sachs noted EM assets remain pressured as the Iran
conflict raises inflation concerns and heightens sensitivity to trade and
earnings fundamentals.