(Bloomberg News) Emerging stocks rose, with the benchmark index set for its strongest first quarter in 20 years, amid expectations of a boost to euro-area rescue funds and better-than-estimated earnings from Chinese banks.
The MSCI Emerging Markets Index gained 0.9 percent to 1,041.57 as of 12:18 p.m. in London, almost erasing this week's loss. The MSCI gauge jumped 14 percent since the end of 2011, the best first quarter since 1992 and the best three-month period since the third quarter of 2010. Industrial & Commercial Bank of China Ltd. and Bank of China Ltd. each advanced 1.6 percent in Hong Kong. The Micex Index jumped 1.6 percent in Moscow and the ISE National 100 Index gained 1.4 percent in Istanbul.
Euro-region governments are poised to agree on a firewall of about 800 billion euros ($1.1 trillion) at their meeting in Copenhagen, German Finance Minister Wolfgang Schaeuble said. U.S. data later today may show consumer confidence, personal income and consumer spending in the world's largest economy increased. The MSCI gauge fell to an eight-week low yesterday as profit from Chinese companies including Jiangxi Copper Co. and Zijin Mining Group Co. trailed estimates.
"Range-bound markets might consolidate today despite the uncertainty whether the growth momentum in the U.S. and whether China will avoid the hard landing," analysts at BNP Paribas SA including Bartosz Pawlowski in London wrote in a note to clients.
Chinese Banks
ICBC, China's biggest publicly traded bank, reported a 17 percent increase in net income. The Bank of China posted an 11 percent profit increase.
Emerging-market equity funds posted an outflow of $127 million in the week ended March 28, snapping 12 weeks of inflows, Citigroup Inc. said, citing data compiled by fund researcher EPFR Global.
United Co. Rusal, the world's largest aluminum producer, jumped as much as 8.4 percent, the most in seven months,in Moscow. OAO Transneft, Russia's national oil-pipeline, operator gained 3.2 percent.
Turkiye Halk Bankasi AS, a state-run Turkish bank, added 2.4 percent in Istanbul. Halkbank, as the lender is known, was raised to buy from hold at Deutsche Bank AG. Global Yatirim Holding AS, a group with interests in financial services and energy, jumped 4.3 percent after saying it received preliminary bids for the sale of minority stakes in its energy unit.
The FTSE/JSE Africa All Shares Index climbed 0.6 percent in Johannesburg. The WIG20 Index jumped 0.7 percent in Warsaw and Hungary's BUX Index rose 0.4 percent.
Shanghai Composite