By Purvi Agarwal

Feb 13 (Reuters) - Most emerging currencies and stocks were higher on Thursday as the dollar retreated, while assets in Russia and Ukraine jumped on the prospects of a ceasefire in their nearly three-year war.

MSCI's index tracking global EM currencies .MIEM00000CUS was up 0.1%, and so was the stocks gauge .MSCIEF, after touching a more than two month high earlier in the session.

Investors were optimistic about emerging Europe, hoping that U.S. President Donald Trump's phone calls with Russian President Vladimir Putin and Ukrainian President Volodymyr Zelenskiy could end their conflict.

Ukraine's sovereign dollar bonds rallied for a second consecutive day, gaining as much as 2 cents, with the 2035 maturity adding 2 cents to be bid at 60.63 cents on the dollar.

The Russian rouble RUB= climbed 3.7% against the dollar, to its highest since September 24, according to over-the-counter market data. Stocks on the Moscow Exchange (MOEX)index surged more than 4%. The euro EUR= advanced 0.3% against the dollar.

"Despite the jump in short-dated U.S. rates yesterday, EUR/USD has moved smartly higher on the back of the Trump-Putin story," analysts at ING said.

"Progress on peace in Ukraine could be an important positive for European countries should it deliver lower energy prices and encourage broader investment."

Oil prices fell more than 1%, with investors pricing in a lifting of sanctions on Russia that have disrupted supply flows. O/R

Meanwhile, a report said that China proposed a summit between the U.S. and Russian presidents to help end the conflict.

Elsewhere in Europe, currencies in emerging market economies were little changed against the euro. Stocks in the region rallied, with Poland's main index .WIG20 up 0.7% and Hungary's Budapest stock index .BUX up 0.3%.

Israel's shekel ILS= was 0.3% higher, while Tel Aviv stocks .TA125 gained 0.6%.

Turkey's current account deficit narrowed to $9.97 billion in 2024 from nearly $40 billion a year earlier.

South Africa's rand ZAR= was up 0.2%, while stocks in the resource-heavy country .JTOPI were flat, after hitting a record high level.

Markets also braced for potential reciprocal tariffs from the United States - in line with Trump's vocal threats - on countries that impose duties on U.S. imports.

Elsewhere, the Philippine central bank unexpectedly kept overnight borrowing rate at 5.75% at its latest policy meeting.

Greentown China 3900.HK will buy back $741 million of outstanding bonds and is also planning to issue U.S. dollar-denominated notes as part of a debt refinancing plan.

HIGHLIGHTS:

** Trump says he backs Ukraine, but early concessions to Russia spark concerns

** India's Modi brings a tariff 'gift' to Trump talks

** Ending US aid will heat up sovereign debt fights

** Israel seen as likely to attack Iran by midyear, Washington Post reports

For TOP NEWS across emerging markets nTOPEMRG

For CENTRAL EUROPE market report, see CEE/

For TURKISH market report, see .IS

For RUSSIAN market report, see RU/RUB

(Reporting by Purvi Agarwal in BengaluruEditing by Gareth Jones)

((Purvi.Agarwal@thomsonreuters.com;))