Emerging-market stocks fell, extending the worst start to a year on record, on concern the global economic recovery will wane. Lenovo Group Ltd. drove a selloff in technology companies after five analysts downgrades.
U.S. stocks advanced, with the Standard & Poor’s 500 Index rebounding from its biggest drop since June, as investors assessed corporate earnings and data showing factory orders fell less than estimated in December.
A “radical reform agenda” is needed to mitigate risks to the global financial system, and the International Monetary Fund must do more to assess the dangers, Bank of England official Andrew Haldane said.
Bill Gross, who runs the world’s biggest bond fund at Pacific Investment Management Co., said the global economic expansion will remain sluggish, with assets such as stocks at risk and subject to more volatility.
U.S. stocks rose, with the Standard & Poor’s 500 Index rebounding following the biggest drop since June, as Treasuries retreated and Turkey’s lira led emerging- market currencies higher. Stocks in developing nations extended their worst-ever start to a year.
Sony Corp. surged the most in more than eight months in U.S. trading after the Nikkei newspaper reported the company is in talks to sell its personal-computer business to Japan Industrial Partners Inc.