Emerging-market equities and currencies are vulnerable to further losses as the recent selloff hasn’t fully priced in risks arising from Donald Trump’s potential tariffs, according to UBS Group AG.

Outlook: Investors are still not pricing in enough risks in emerging markets from the fallout of a new US-China trade war, writes Manik Narain of UBS. We have a busy day ahead with data releases and Wall Street earnings:

U.S. stocks looked set to rise on Tuesday as the market chose to focus on the positives from a report saying Donald Trump may take a more restrained approach to raising tariffs. The President-elect’s

President-elect Donald Trump said he would create an “External Revenue Service” tasked with collecting tariffs on foreign imports, the latest indication that the Republican aims to carry out his promises for sweeping trade levies when he retakes office.

U.S. President-elect Donald Trump said on Tuesday he will create a new government agency called the External Revenue Service "to collect tariffs, duties, and all revenue" from foreign sources as he readies new import tariffs ahead of his inauguration next week.

Donald Trump called for the creation of a new federal agency dedicated to collecting the tariffs he's threatening to impose on U.S. trading partners — but he was quickly taught there's already a government entity that does that.