MSCI's index tracking global EM currencies was little changed, while the stocks gauge was down 0.3%. Both indexes had marked their biggest weekly losses last week since March 2 - just after the Iran conflict began.

Bonds from Tokyo to New York extended losses on Monday as inflation fears stoked investor wagers on rate hikes from global central banks. G7 finance ministers in a meeting in Paris looked to find common ground to tackle imbalances from the selloff.

From The Weekender

Success isn’t at the top of the corporate ladder anymore

My generation watched our parents give everything to a company. We decided to give it to ourselves instead. But it's more complicated than that.

Read on The Weekender

"The concern is that higher yields do not stay confined to bond markets, but can weigh on equity valuations, particularly in growth and technology sectors, while also increasing pressure on governments carrying large debt burdens," said Lale Akoner, global market analyst at eToro.

"Bond markets appear to be signaling that investors should prepare for a more volatile environment," she said.

The yield on the benchmark 10-year US Treasury eased slightly to 4.59% - still its highest in about a year, while bonds in energy importing EMs were also pressured.

Prospects

Every Monday

With exclusive interviews and in-depth coverage of the region's most pressing business issues, "Prospects" is the go-to source for staying ahead of the curve in Indonesia's rapidly evolving business landscape.

View More Newsletter

By registering, you agree with The Jakarta Post's Privacy Policy

Sign Up

Thank You

for signing up our newsletter!

Please check your email for your newsletter subscription.

View More Newsletter

Sri Lanka's 2033 maturity bond fell 1.2 cents on the dollar, while those in markets such as Kenya fell over 0.7 cents on average, TradeWeb data showed.

Most Asian equity bourses reeled under the weight of the bond selloff. South Korea's KOSPI was an outlier, up 0.3% on a boost from Samsung Electronics, as investors found relief in efforts to avert a workers' strike at the chip giant.

Indonesian stocks tumbled 2.5% to below their lowest in a year in their fifth session of losses, while its rupiah weakened 1% to another record low of 17,688 versus the US dollar.

On the conflict front, the United Arab Emirates and Saudi Arabia reported drone incidents, a day after US President Donald Trump warned that Iran must act "fast" after efforts to end the war stalled.

Stocks in emerging Europe were mixed, with those in Romania down 0.4%. Hungarian and Polish stocks gained 0.2% and 0.7% respectively.

Romania's leu depreciated 1.5% against the euro, at another record low. The country has the biggest budget deficit among EU members.

From The Weekender

Our second Instagram account is the real one

In an act of rebellion against overexposure and performative social media, Gen Z are turning to smaller, controlled spaces on social media where they can be their authentic selves.

Read on The Weekender

The currency has been languishing at record lows after the government was toppled in a no-confidence vote earlier this month. That could bring political deadlock and put EU funds and Romania's credit ratings at risk.

Turkey's lira was muted and its stocks 100 fell 1.5%. South Africa's rand gained 0.4% as gold prices inched higher, but stocks lost 0.4%.

Popular

Why Indonesia must write ASEAN’s green rules

Freeport Indonesia pushes back full copper mine restart

Growth without gain: Why Indonesians don't feel the economy