Emerging-market equities saw a 0.7% rise fueled by AI-related stocks in Hong Kong and China after Alibaba reported a surge in revenue from AI. Alibaba’s stock jumped 19% in Hong Kong, marking a break from last week’s Asian market decline due to a tech selloff on Wall Street.

The MSCI EM currency gauge remained steady with the US Labor Day holiday reducing liquidity. The rupiah saw the most gains against the dollar in Asia as Bank Indonesia intervened to stabilize the currency amidst political unrest. Investors are cautious about Indonesia and monitoring developments in Thailand.

Poland’s GDP grew in Q2 due to domestic demand, boosting the zloty against the euro and dollar. Investors are keeping an eye on US tariffs after a federal appeals court ruled most of Trump’s global tariffs illegal. Indonesia and Thailand face political uncertainties affecting market sentiment.

Read more at Yahoo Finance: Emerging Stocks Rally as Alibaba Surges on AI Revenue Boost