EMERGING MARKETS-Brazil's real slides on weak inflation outlook; Latam stocks fall
Sept 10 (Reuters) - Latin American currencies slid lower on Tuesday, led by the Brazilian real after the government cut its 2019 annual inflation forecast, pointing to further chances of monetary easing in the region's largest economy.
The real BRL= shed about 0.6%, weighing on MSCI's index of Latin American currencies .MILA00000CUS after the government cut its 2019 inflation forecast to 3.6% from 3.8%. It raised its growth outlook slightly.
Central bank chief Roberto Campos Neto previously had flagged more room for monetary easing if inflation remained tepid.
The Mexican peso MXN= outperformed its regional peers, edging up 0.1%. Finance Minister Arturo Herrera said state-oil firm Pemex is exploring opening a bidding process for public-private contracts in order to ensure the debt-laden firm has enough money to invest and manage its debt profile.
Chile's peso CLP= was marginally lower as prices of copper, the country's main export, drifted lower. MET/L
Latin American stock indices .MILA00000PUS were mostly lower, in line with the broader emerging markets as investors stayed away from riskier assets ahead of key central bank meetings.
Investors expect an easing package from the European Central Bank at its monetary policy meeting on Thursday, and a likely quarter-point interest rate cut next week from the Federal Reserve.
Sao Paulo-listed stocks .BVSP fell 0.6% after four straight sessions of gains, with financials leading declines.
Retailers Magazine Luiza MGLU3.SA, Via Varejo VVAR3.SA and B2W BTOW3.SA fell between 4.5% and 5.6% after U.S. internet marketplace Amazon.com Inc AMZN.O said it would launch its Prime subscription service in the country.
Stocks in Mexico .MXX and Chile .SPIPSA fell between 0.1% and 0.4%, while those in Colombia .IGBC moved marginally higher.
Latin American stock indexes and currencies at 14:36 GMT
daily % change
MSCI Emerging Markets .MSCIEF
MSCI LatAm .MILA00000PUS
Brazil Bovespa .BVSP
Mexico IPC .MXX
Chile IPSA .SPISA
Argentina MerVal .MERV
Colombia IGBC .IGBC
daily % change
Brazil real BRL=
Mexico peso MXN=
Chile peso CLP=CL
Colombia peso COP=
Peru sol PEN=PE
Argentina peso (interbank) ARS=RASL
(Reporting by Ambar Warrick and Agamoni Ghosh in Bengaluru; Editing by Dan Grebler)
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