EMERGING MARKETS-EM assets fall as US-Iran talks stall

* MSCI downgrades Turkey's information flow measure to negative

* South Korean shares ease from record highs

* Russian central bank meeting awaited

* Indian assets poised to break five-day winning streak

By Avinash P

June 19 (Reuters) - Emerging market stocks and currencies fell on Friday as a risk-off mood swept global markets after talks to end the Middle East conflict stalled, while MSCI flagged fresh concerns about Indonesia's investment appeal.

Switzerland said U.S. talks with Iranian negotiators on a pact to end their conflict would not take place on Friday after Vice President JD Vance cancelled plans to travel there, adding to doubts over whether a lasting truce can be reached.

"The bottom line is a lot of positive news has been priced in over the past few days. When we had positive news on the (interim peace) deal, markets were going up by 2% and when we had negative news, it was only going down by 0.5%-1%. So at the end, the trend has been going higher and higher," said Guillaume Tresca, global EM strategist at Generali Asset Management.

"We should continue to see some kind of profit-taking in the next few days."

INDONESIA, TURKEY CONCERNS

MSCI's index tracking EM stocks was down 0.3%, but was still on course for a weekly gain after earlier optimism over U.S.-Iranian peace prospects.

Indonesia's stocks reversed earlier declines to trade 0.2% higher, while the rupiah slipped 0.4% against the dollar.

MSCI raised new concerns about Indonesia's accessibility for investors, citing limited visibility on shareholdings and coordinated trading behaviour, ahead of its review of the country's emerging market status next week.

The warning adds to pressure on Indonesian assets, which have been hit hard this year, leaving its stock market and the currency the worst performers among major economies.

South Korea's shares hit fresh record highs earlier on Friday before ending 0.1% lower. The won gained 0.7%.

Indian equities fell more than 0.7%, while the rupee was flat. Both were on track to break five-day winning streaks.

MSCI's EM currency gauge dipped 0.2% and was headed for a small weekly loss. A hawkish tilt from U.S. policymakers lifted expectations for a Federal Reserve rate hike, while uncertainty over U.S.-Iran talks pushed the dollar to a more than one-year high, weighing on EM currencies.

Turkey's stocks dropped 0.6%, while the lira remained subdued.

MSCI also reiterated concerns over investability in Turkey and downgraded its information flow measure to "negative", pointing to limited transparency in shareholding structures and coordinated trading behaviour that undermines price formation.

South Africa's rand was off 0.2%, and the stocks benchmark fell 1%, with lower gold prices adding to the pressure.

Currencies in central Europe were subdued against the euro, while stocks were mixed.

Hungarian and Polish stocks declined 0.1% and 0.2%, respectively, while Romania's benchmark gained 0.5%.

Investors were also awaiting Russia's central bank policy meeting later in the day.

Markets in the U.S., China and Taiwan were shut for a holiday.

HIGHLIGHTS:

** Fujimori edges toward Peruvian presidency as Sanchez calls for protests

** Flows, underlying sentiment cushion Indian rupee against Fed-spurred dollar rally

** Malaysia's May exports rise 45.3% y/y, above forecast

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For CENTRAL EUROPE market report, see

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For RUSSIAN market report, see (Reporting by Avinash P in Bengaluru)