Monday saw a rise in emerging market stocks and currencies, fueled by bets on a weaker dollar and potential U.S. Federal Reserve interest rate cuts, which drove investors to seek higher yields abroad.

An MSCI index tracking emerging market equities climbed 1.52%, nearing a high not seen since June 2021, as currencies edged up 0.14%. ING economists noted ongoing U.S. regional banks' concerns affecting FX markets.

Investors are closely watching the U.S.-Russia meeting on Ukraine. A ceasefire could boost risk appetites, further aiding Central and Eastern European currencies under favorable conditions, according to ING.

(With inputs from agencies.)

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