Emerging Assets Climb on Iran’s New Proposal in Thin Trading

Emerging-market benchmarks for stocks and currencies advanced in thin holiday trading, as Iran delivered a new proposal to the US via Pakistan over the Strait of Hormuz, pushing crude lower.

The MSCI Emerging Markets Index ended the day 0.1% higher, with United Arab Emirates stocks, including First Abu Dhabi Bank PJSC and ADNOC Drilling Co. contributing most to the gains. An EM currency index rose 0.1%, helped by gains in the Hungarian forint and Polish zloty. The Mexican peso and South African rand, bellwethers for risk appetite, both strengthened against a weaker dollar.