- Emerging-market stocks stumbled in July after a strong earlier-year rally, with geopolitical tension, volatile AI-related shares and interest-rate concerns weighing on investors.
- Higher oil and food prices, potential U.S. rate increases and a stronger dollar erode the yield advantage of emerging-market debt and intensify inflation pressures.
- South Korean and Taiwanese technology companies account for about 45% of the MSCI emerging-markets index, amplifying index volatility when semiconductor shares swing.