Emerging Currencies Gain as US Jobs Data Bolsters Fed Bets

Emerging-market currencies gained for a second session on Wednesday after US private-sector payrolls posted their first decline in two years, adding to bets on rate cuts by the Federal Reserve this year.

An index tracking developing currencies ended the session slightly higher, led by the Colombian peso and the Taiwan dollar. Emerging-market stocks also edged higher on the day.

Read more: US Private Payrolls Unexpectedly Declined in June, ADP Data Show

US private-sector payrolls decreased 33,000 in June, “prompting some analysts and managers to consider possible rate cuts in the US,” said Jose Prieto Jaramillo, business head at BTG ...