Wires

EMERGING MARKETS-EM stocks stage rebound, set to snap eight-day losing streak

Shreyashi Sanyal

* EM stocks index up after losing over 6% in eight days

* China's central bank to inject liquidity into markets

* Turkish stocks rise with Halkbank leading gains

* Russian rouble firms as oil shows signs of recovery

Feb 4 (Reuters) - Stocks across the developing world staged a comeback on Tuesday, rising for the first time in nine sessions as China's pledge to use monetary policy tools calmed some nerves around the coronavirus epidemic.

In efforts to ease concerns, the People's Bank of China said it was injecting 1.2 trillion yuan ($174 billion) worth of liquidity into the markets via reverse repo operations on Monday.

"This relieves some immediate liquidity pressures. It also allows the PBoC to scoop up all the assets that nobody else wants to hold right now via reverse repo," said Michael Every, senior strategist at Rabobank.

"The underlying market hope is clear: central banks will save us, not just from the business cycle, and not just from climate change, but now from global pandemic too."

A basket of emerging market equities rose 1.7%, after losing more than 6% in the last eight sessions, as risk appetite was battered by the fast spreading virus in China.

Hong Kong reported its first death from the coronavirus on Tuesday, the second outside mainland China from an outbreak that has killed over 420 people so far.

Turkish stocks climbed more than 1%, with shares in state-owned Halkbank leading gains as it jumped more than 7% after a federal U.S. appeals court on Monday agreed to pause proceedings while a three-judge panel reviews a motion by the bank to dismiss charges against it.

Stocks in Russia stabilized, while the rouble gradually firmed after hitting two-month lows in the previous session. The commodity-linked currency also tracked a slight recovery in oil prices.

Currencies in central and eastern European economies including Hungary, the Czech Republic and Romania strengthened versus the euro.

For GRAPHIC on emerging market FX performance in 2020, see http://tmsnrt.rs/2egbfVh For GRAPHIC on MSCI emerging index performance in 2020, see https://tmsnrt.rs/2OusNdX

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For CENTRAL EUROPE market report, see

For TURKISH market report, see

For RUSSIAN market report, see (Reporting by Shreyashi Sanyal in Bengaluru; Editing by Giles Elgood)