Emerging debt-Spreads widen on UST rally, Interpol decision

* Yield spreads widen due to U.S. Treasury rally

* Sovereign dollar bond prices hold ground

* Venezuelan credit hurt by Interpol authentication

By Daniel Bases

NEW YORK, May 15 (Reuters) - Emerging market assets gained ground on Thursday, with dollar bonds marginally higher and stock prices on growing hopes the U.S. financial market crisis has peaked.

A rally in U.S. Treasuries, based on soft May manufacturing data and a rise in the number of unemployed people remaining on government assistance after an initial week of jobless benefits, however, resulted in wider yield spreads for sovereign dollar debt.

"There is a certain sense that this phase of the financial crisis is winding down. Inflation remains the main problem at the moment," said Igor Arsenin, emerging markets debt strategist at Credit Suisse in New York.

(For more on the U.S. economy, click on [ID:nN15515443])

Key members of the U.S. Senate reached a deal on a sweeping housing rescue plan, sources told Reuters on Thursday. Progress on supplying aid to the ailing U.S. housing sector plus further accounting for bad mortgage-related investments by investment banks is raising hopes that financial markets might have a chance to start a recovery.

The Morgan Stanley Capital International's emerging markets stock index .MSCIEF was up 1.18 percent while the Latin American index .MILA00000PUS traded at record highs, up 1.31 percent on the day.

In the credit markets, the benchmark JP Morgan Emerging Markets Bond Index Plus 11EMJ.JPMEMBIPLUS yield spread widened by 6 basis points over stronger U.S. Treasuries to 261 basis points.

Spreads for Argentina's portion of the EMBI+ narrowed by 1 basis point to 558 basis points while total returns dropped 0.25 percent.

Argentina's bonds managed to hold onto a portion of their early gains on what appeared to be signs from President Cristina Fernandez that the government might be willing to resume talks with farmers currently on strike over a new sliding-scale export tax.

One leading farm figure, however, said on Thursday the strike is likely to continue.

Venezuela's bonds underperformed the market as oil prices fell and Interpol, the international police agency, said documents found on Colombian rebel computers were authentic but would not pass judgment on the actual contents.

Colombian charges that Venezuela and Ecuador supported the guerrillas but these two leftish governments dismiss the accusations as a U.S.-backed campaign to discredit them.