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By Bloomberg

Emerging-market stocks headed for the steepest weekly rally in more than nine months and currencies rose as a Chinese manufacturing gauge unexpectedly climbed and the European Central Bank expanded its asset-buying program.

China Life Insurance Co. led a gauge of Hong Kong-traded mainland shares to a three-week high. Taiwan Semiconductor Manufacturing Co. surged to a record after Goldman Sachs Group Inc. raised its target price. PetroChina Co. climbed 1.6 percent in Hong Kong after oil surged. Taiwan’s dollar strengthened 0.6 percent versus the dollar, while India’s rupee and the Philippine peso advanced at least 0.3 percent.

The MSCI Emerging Markets Index added 0.6 percent to 989.58 at 1:37 p.m in Hong Kong, taking its increase this week to 3.4 percent. A Chinese manufacturing gauge recovered lost ground in January, suggesting stimulus measures have helped stabilize the economy. The ECB will buy up to 60 billion euros ($68 billion) of bonds a month through September 2016. Brent crude climbed 1.9 percent after Saudi Arabia’s King Abdullah died.

Interest rate “expectations are being reset down, which is a positive surprise to the stock markets,” Alan Richardson, a Hong Kong-based investment manager at Samsung Asset Management Ltd., said by e-mail. “Oil prices have been the primary driver; ECB is just a follow on for today’s market activity.”

The developing-nation gauge has risen 3.5 percent this year and trades at 11.7 times projected 12-month earnings, data compiled by Bloomberg show. The MSCI World Index is little changed and is valued at a multiple of 15.8.

Industry Groups

All 10 industry groups in the emerging-markets measure advanced, paced by technology and financial shares. China Life added 2.7 percent to the highest level since January 2011, as the Hang Seng China Enterprises Index rose 1.6 percent.

The Shanghai Composite Index climbed 1.4 percent. The gauge has risen for an 11th week, poised for the longest rally since 2006. The preliminary Purchasing Managers’ Index from HSBC Holdings Plc and Markit Economics was at 49.8 in January, exceeding the median estimate of 49.5 in a Bloomberg survey.

Oil stocks gained. PetroChina advanced the most in two weeks, while Thailand’s PTT Pcl added 1.5 percent. Saudi Arabia’s Crown Prince Salman bin Abdulaziz will succeed Abdullah on the throne of the world’s biggest oil exporter.

Taiwan Semiconductor climbed 3.6 percent after Goldman Sachs increased its target price to NT$162 from NT$157. The Taiex Index gained 1.1 percent to a four-month high.

Equity gauges in Indonesia, the Philippines and Malaysia rose at least 1 percent. The Taiwan dollar strengthened for a third day and the Indian rupee appreciated for a second day in three. The peso headed for the strongest level since Sept. 12.