Emerging-market currencies fell, extending the longest stretchof weekly declines since 2000, as Malaysian assets tumbled,Turkey's lira touched a record low for a third day, and the rubleand Russian stocks retreated amid a slump in oil.

A gauge tracking 20 of the most-traded developing-nationcurrencies dropped 0.3 percent, with the ringgit weakening to thelowest level since 1998 and Thailand's baht slumping as anexplosion struck Bangkok's central shopping district. The currencymeasure has fallen for eight straight weeks as the prospect of higher U.S. interest rates and the shock devaluation of the yuan magnified risks. The MSCIEmerging Markets Index of stocks retreated 1.1 percent to 854.41 at11:30 a.m. in New York.

China's devaluation “will be something that will shape the restof the year for emerging-market currencies, especially given thefact that people view this as a clear indication that the Chineseauthorities are worried about the state of their economy,” saidAnders Svendsen, an analyst at Nordea Bank A/S in Copenhagen.