EMERGING MARKETS-Electoral poll boosts Bovespa; Mexico peso sinks on rate cut

viernes 6 de junio de 2014 11:06 GYT

SAO PAULO, June 6 (Reuters) - Brazil's Bovespa stock index
 jumped on Friday after a poll showed declining voter
support for President Dilma Rousseff ahead of October's
    Other stock markets and currencies in the region tracked
global markets higher in the wake of encouraging U.S. jobs data,
though Mexico's peso weakened after the central bank
unexpectedly cut interest rates to a record low. 
    A poll released on Friday by research firm Datafolha showed
support for Rousseff fell to 34 percent from 37 percent in a
previous poll a month earlier, reducing the likelihood that she
will avoid a run-off. 
    Investors hope a new administration will enact policies more
favorable to minority shareholders at state-run enterprises.
    Brazil's Bovespa posted its biggest gain in over a month as
shares of state-run oil producer Petroleo Brasileiro SA
 rose 6 percent. Other state-run firms also gained,
with Banco do Brasil SA and Centrais Eletricas
Brasileiras SA, known as Eletrobras, both up 5
    Stocks also got a boost from U.S. labor data that pointed to
a continuing recovery in the world's largest economy, analysts
    Mexico sends the bulk of its exports to the United States
and its IPC stock index rose 1.5 percent, while Chilean
stocks were little changed.
    The Mexican peso reversed early gains after the central bank
unexpectedly cut its benchmark interest rate by 50
basis points to 3.0 percent. 
    The Chilean peso strengthened after inflation data on
Friday came in above the central bank's target range, making the
bank less likely to continue monetary easing in the short term.
    Yields on Brazilian interest rate futures <0#DIJ:> fell
across the curve as investors cut expectations for higher
interest rates after data on Friday showed annual inflation rose
only slightly in May. 

    Key Latin American stock indexes and currencies at 1437 GMT:
 Stock indexes                             daily %     YTD %
                               Latest       change    change
 MSCI Emerging Markets           1044.33       0.9      3.22
 MSCI LatAm                      3336.93      2.62      1.59
 Brazil Bovespa                 52856.58      2.52      2.62
 Mexico IPC                     42805.66       1.5      0.18
 Chile IPSA                      3939.03     -0.03      6.48
 Chile IGPA                     19211.43     -0.02      5.40
 Argentina MerVal                7932.19      1.23     47.14
 Colombia IGBC                  13887.52      0.12      6.24
 Peru IGRA                      15901.47     -0.05      0.94
 Venezuela IBC                   2209.65         0    -19.26
 Currencies                                daily %     YTD %
                                            change    change
 Brazil real                      2.2420      0.82      5.12
 Mexico peso                     12.8947     -0.23      1.05
 Chile peso                        549.2      0.42     -4.21
 Colombia peso                   1884.95      0.35      2.50
 Peru sol                          2.782      0.25      0.40
 Argentina peso (interbank)       8.1400     -0.12    -20.24
 Argentina peso (parallel)         11.58      0.52    -13.64

 (Editing by Dan Grebler)