🔴 iShares MSCI Emerging Markets ETF is trading 5.1% down today on U.S.-Iran tensions and hawkish Fed expectations

iShares MSCI Emerging Markets ETF is trading 5.1% lower on June 5, 2026, as a surge in geopolitical risk and shifting macroeconomic expectations trigger a broad retreat from risk assets.

• Renewed U.S.-Iran military tensions are weighing heavily on emerging market sentiment, contributing to a wider selloff in growth assets and crypto.
• A global rotation out of high-beta and tech-related exposure is being fueled by "stronger-for-longer" Fed expectations.
• The broader risk-off move is pressuring rate-sensitive sectors as investors pull back from diversified emerging market equities.