EMERGING MARKETS-LatAm markets seesaw after recent gains; China data, U.S. rates eyed


(Updates prices)
    By Bruno FederowskiSAO PAULO, July 17 (Reuters) - Latin American stocks and
currencies seesawed on Monday as investors remained wary of big
trades following sharp gains the week before.
    Still, stronger-than-expected China economic data and doubts
about the prospect of a U.S. interest rate hike this year
supported demand for emerging market assets, keeping a lid on
    The Mexican peso <MXN=D2> slipped 0.1 percent after reaching
a 14-month high on Friday in its biggest weekly gain since late
January. The Brazilian real <BRBY> firmed 0.1 percent.
    Emerging market assets have spiked in recent weeks as mixed
U.S. economic figures and remarks by Federal Reserve
policymakers have cast a shadow over the U.S. central bank's
plan to hike rates once more in 2017 and three times in 2018.
    A slower path of rate increases in the United States could
boost demand for risky assets, which typically lure investors
with the promise of higher yields.
    Wider emerging market stocks <.MSCIEF> on Monday reached
their highest level since April 2015, also supported by a report
showing that China, the world's No. 2 economy, expanded faster
than expected in the second quarter. [nL3N1K81AY]
    Brazilian stocks <.BVSP> fell 0.2 percent as traders booked
profits from a five-day stretch of gains.
    Losses were limited by rallying shares of Braskem SA
<BRKM5.SA>, Latin America's largest petrochemical firm, which
touched an all-time high after Morgan Stanley Securities became
the latest research house to turn bullish on the stock.
    Latin American stock indexes and currencies at 1942 GMT:
 Stock indexes                                 daily %     YTD %
                                      Latest    change    change
 MSCI Emerging Markets <.MSCIEF>     1,051.01    +0.38    +21.43
 MSCI LatAm <.MILA00000PUS>          2,716.00    +0.06    +15.96
 Brazil Bovespa     <.BVSP>         65,138.09    -0.46     +8.15
 Mexico S&P/BVM IPC     <.MXX>      51,308.29    +0.29    +12.41
 Chile IPSA         <.IPSA>          5,040.86    +0.81    +21.43
 Chile IGPA         <.IGPA>         25,142.91    +0.75    +21.26
 Argentina MerVal   <.MERV>         21,305.52    -2.63    +25.94
 Colombia IGBC      <.IGBC>         11,041.67    -0.25     +9.02
 Venezuela IBC       <.IBC>        130,390.47    +0.97   +311.26

 Currencies                                    daily %     YTD %
                                                change    change
 Brazil real       <BRBY>               3.181    +0.10     +2.16
 Mexico peso       <MXN=D2>            17.589    -0.14    +17.94
 Chile peso      <CLP=CL>             659.600    -0.36     +1.68
 Colombia peso <COP=>               3,030.000    -0.23     -0.94
 Peru sol        <PEN=PE>               3.247    +0.09     +5.14
 Argentina peso (interbank)            16.920    -0.35     -6.18
 Argentina peso (parallel)             17.670    -0.57     -4.81

 (Reporting by Bruno Federowski; Editing by Jonathan Oatis and
Sandra Maler)
 ((Bruno.Federowski@thomsonreuters.com; 55 11 5644 7768; Reuters
Messaging: bruno.federowski@thomsonreuters.com))


This article appears in: Stocks , World Markets , Politics

More from Reuters


See headlines for BRKM5

Research Brokers before you trade

Want to trade FX?