Emerging mkt stocks swing between gains and losses ahead of US poll verdict

For Dhiraj Bajaj, head of Asia fixed income at Lombard Odier, growing expectations of a Trump victory or a Biden win without a Democratic sweep, means the upside for emerging markets will be capped.

Emerging market stocks and currencies swung between gains and losses as US election tallies suggested the outcome of the presidential vote will be closer than polls had predicted.

The benchmark currency gauge declined 0.3%, led by the Mexican peso and the Turkish lira, after falling as much as 0.8%. The equity index steadied as U.S. stock futures reversed an earlier drop. The offshore yuan, a key barometer of U.S.-China relations, weakened 0.4% after gaining earlier amid speculation Democratic nominee Joe Biden would emerge victorious. The ruble bucked the trend, strengthening 0.6%.

“We are going to see the market