Emerging-market stocks experienced a 1.1% decline on Monday, reaching a one-week low, as a stalemate in US-Iran negotiations led to an increase in oil prices and reduced investor risk appetite. This situation has heightened concerns about potential long-term disruptions to energy supplies.
Brent crude futures saw a 1.3% rise, following US President Donald Trump's rejection of Iran's proposal to resolve the conflict and reopen the Strait of Hormuz. This geopolitical tension is contributing to a cautious investment environment.
In specific markets, Turkish equities dropped by 2.6%, and the Hungarian forint fell by 1.2%. South African stocks also declined by 1.9%, hitting a more than two-month low, and the rand slipped by 1%.
