Treasuries Rise, Dollar Slips on Fed; U.S. Stocks Slide With Oil
Emerging Markets Rout: Are We Nearing the Bottom?
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Treasuries rose and the dollar fell as traders reduced bets on a September rate increase after Federal Reserve minutes showed officials sought more progress on inflation. A midafternoon rally in U.S. stocks faded as investors refocused on China and the global economy.
While the Fed’s minutes quelled speculation the central bank will raise rates at its next gathering, China’s surprise currency devaluation continued to roil emerging-market assets, with concern over the impact of a Chinese slowdown on global growth fueling a rout in commodities. Gold and silver gained on haven demand while oil’s selloff deepened on supply issues.