LONDON: Emerging stocks fell to the lowest level in nearly three weeks on Tuesday and Polish zloty volatility jumped to three-year highs as Brexit prospects drove investors towards safer assets including the dollar. Meanwhile Peru could see its bourse reclassified from the emerging to the frontier benchmark. "Markets are becoming increasingly nervous about Brexit and in the short-term we will continue to see this kind of trading," said Luis Costa, head of CEEMEA FX and debt at Citi. "In European equities, in Bunds, spreads in peripheral Europe and in central Europe we have had big moves - at this time people will look to square positions rather than add. Meanwhile the U.S. Federal Reserve U.S. was scheduled to start a two-day meeting on interest rate policy.The dollar index is up almost half a percent while German 10-year yields turned negative for the first time.

Source: Economic Times June 14, 2016 11:01 UTC