(Bloomberg) -- Emerging-market assets eked out gains Tuesday, adding to an early May winning streak that has come in spite of a relentless advance by the US dollar. 

A gauge of developing currencies inched higher at close, after swinging throughout the day, for its fifth-straight session of gains. Its companion index for equities also closed higher, for the fourth-straight day. 

Even as the greenback strengthened against its G-10 peers, Colombia’s peso, Brazilian real and Peru’s sol led gains among the 23 developing currencies tracked by Bloomberg.

After a rout in April, a drop in volatility and other factors “have once again turned conducive for carry trades, which is providing a boost for the well-known high yielders in the LatAm space,” said Simon Harvey, head of foreign-exchange analysis at Monex Europe Ltd. in London. 

Investors largely shrugged off remarks from Minneapolis Fed President Neel Kashkari, who said it’s likely the central bank will keep rates where they are “for an extended period of time” until officials are certain prices are on track to their target.

Read More: Fed’s Kashkari Says Rates Likely on Hold for ‘Extended Period’

Currency Laggards

Chile’s peso led declines among peers as it slipped away from a three-month high.

Some Asian currencies, like Indonesia’s rupiah and Thailand’s baht, also came under pressure on the back of a weaker Japanese yen, which slid as US officials called for caution on currency interventions. 

Non-Japan Asia currencies are “back under pressure as the ‘shock’ treatment from the BoJ last week is wearing off,” Harvey added. 

Elsewhere in Turkey, officials have been holding talks in recent weeks about easing restrictions on offshore currency swaps, according to people with knowledge of the conversations, a move that would meet a key demand from foreign investors interested in entering the market. Turkey’s five-year credit default swaps fell on the back of the report.

The EM equity index — which is heavily weighted to Asia — was led by advances of companies listed in Hong Kong, China and India. The gauge is up some 4.4% this year. 

Bond Issuance

In credit markets, Mexico is weighing a return to yen debt markets in the second half of the year, according to Deputy Finance Minister Gabriel Yorio. The country is among the few emerging markets outside of Asia that sell yen-denominated debt, offering slightly higher returns to Japanese investors accustomed to ultra-low yields.

Read More: Mexico Studies Samurai Bond Sale in the Second Half of the Year

The Philippines sold $2 billion of bonds in a two-part sale, marking its first trip to the international market this year.

Global funds continued to pile into India’s $1 trillion sovereign-bond market ahead of the country’s addition to global debt indexes. JPMorgan Chase & Co. announced last year it will add Indian government debt to its benchmark emerging-market index starting in June, a milestone for Asia’s third-largest economy.

--With assistance from Srinivasan Sivabalan.

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