(Bloomberg) — Emerging-market currencies weakened with the euro and Treasuries climbed for the first time in six days after talks on Greece’s bailout ended without an agreement. European equity-index futures fluctuated amid earnings reports and Russia’s ruble tumbled amid negotiations on Ukraine.
The euro was 0.2 percent weaker versus the dollar at 7:25 a.m. in London. The ruble slid 2 percent. South Korea’s won weakened 1.2 percent. A gauge tracking 20 developing-economy currencies was at its lowest in data going back to 1999. Futures on the Euro Stoxx 50 Index were little changed while Standard & Poor’s 500 Index contracts erased losses. The yen was at least 0.1 percent stronger against all 16 major peers and the yield on 10-year U.S. notes fell three basis points.
Leaders of Russia, Ukraine, Germany and France in Belarus spent Wednesday night discussing the 10-month conflict between Ukrainian government troops and separatist rebels. Last-minute questions from the anti-austerity government in Athens snagged progress toward an agreement between Greece and creditors meeting in Brussels, with talks set to resume on Feb. 16. U.S. oil held below $50 a barrel after sliding 7.6 percent in two days.
Credit Suisse Group AG is among stocks that may move on corporate news today. The Swiss lender returned to profit in the fourth quarter, announced further asset reductions, and offered investors a choice to receive their 2014 dividend in shares or cash.
U.S. Futures
Rio Tinto Group may move as the world’s second-largest mining company reported better-than-forecast annual profit and said it plans to spend $2 billion buying back shares. Total SA may be active after posting fourth-quarter earnings that exceeded analysts’ projections.
S&P 500 March contracts pared losses as a diplomat said there was hope for an agreement to quell fighting in Ukraine’s east. The U.S. benchmark gauge was little changed yesterday after erasing its loss for the year on Tuesday. Nasdaq 100 Index futures climbed 0.1 percent and those on the Dow Jones Industrial Average were little changed.
The benchmark U.S. 10-year yield fell to 1.99 percent, according to Bloomberg Bond Trader data. The 2 percent note due February 2025 gained 7/32, or $2.81 per $1,000 face amount, to 100 3/32. Japanese 10-year yields were unchanged at 0.395 percent.
Treasuries fell Wednesday on speculation euro region officials were moving toward an agreement on a bailout extension. They rose Thursday in Asia after a Greek official said no agreement had been reached.
Yen Rebound
Japan’s currency rose 0.2 percent to 120.27 per dollar and was up 0.4 percent to 136.08 per euro. The euro was at $1.1313. Gold for immediate delivery was 0.3 percent higher at $1,222.79 per ounce.
A Bloomberg gauge tracking 20 emerging-market currencies against the dollar slipped 0.2 percent to 78.1663, the lowest since Bloomberg began tracking the data. A dollar bought 1,110.78 won and 12,820 rupiah, which is the most on a closing basis since August 1998.
Aussie Tumbles
The Australian dollar weakened to 76.61 U.S. cents in a third day of declines. Data Thursday showed Australian employment dropped by 12,200 jobs in January from the previous month, more than double the decline projected by economists.
The MSCI Emerging Markets Index was little changed today after four days of losses. The MSCI Asia Pacific Index was 0.3 percent higher, while a gauge that excludes Japanese stocks slid 0.5 percent and is heading for its lowest close since Jan. 20.
Topix Index
Japan’s Topix index jumped 1.6 percent to the highest close since December 2007 as trading resumed after a break during which the yen weakened 1.6 percent versus the U.S. currency. Toyota Motor Corp. advanced 1.8 percent and Sony Corp. jumped 5.1 percent.
Fanuc Corp. rose to a record in Tokyo trading after Third Point LLC, the hedge-fund firm run by Daniel Loeb, said it had acquired a stake and urged the world’s largest maker of automation equipment to buy back stock.
West Texas Intermediate for March delivery climbed 1.8 percent to $49.86 a barrel. The contract fell $1.18 to $48.84 on Wednesday. U.S. stockpiles increased for a fifth week through Feb. 6 to 417.9 million barrels, the most in records dating back to August 1982, the Energy Information Administration reported on Wednesday.
Brent advanced 1.5 percent to $55.48 a barrel. It dropped $1.77 to $54.66 on Wednesday.
–With assistance from Rebecca Christie in Brussels, Anna Kitanaka in Tokyo and Emma O’Brien in Wellington.
