Emerging stocks slump for third day

Emerging-market stocks fell, driving the benchmark index toward its biggest three-day loss in 13 months, amid concern the US economic recovery is stalling, threatening global growth. The MSCI Emerging Markets Index sank 0.6 per cent to 1,096.54 at 3:06pm in Singapore, set for a three-day, 4.4 per cent plunge that will be the steepest since July 2010. South Korea's Kospi Index tumbled 2.3 per cent, completing its biggest three-day sell-off since November 2008. Taiwan's Taiex index declined 1.7 per cent and the Hang Seng China Enterprises Index of Chinese companies' H shares retreated 1 per cent. Developing nation stocks are set for their largest weekly declines since May 2010 after US reports this week on manufacturing, spending and the services industries fuelled concern the world's biggest economy is faltering.