EMERGING MARKETS-Brazil stocks drop on China data; Petrobras earnings eyed

martes 27 de enero de 2015 11:27 GYT

SAO PAULO, Jan 27 (Reuters) - Brazil's benchmark Bovespa
stock index fell the most in over a week on Tuesday
following disappointing economic data from top trade partner
    The broader MSCI Latin American stock index 
slipped for the third straight day, while most of the region's
currencies edged higher following a weak U.S. durable goods
    Data on Tuesday showed China's factory profit grew at its
weakest rate in two years in 2014 as economic growth slipped to
a 24-year low. 
    China is a top market for Brazilian raw material exports
such as iron-ore, soybeans and petroleum.
    The data "ends up hurting commodities prices and so we're
seeing the raw materials sector pressuring (the index)," said
Luis Gustavo Pereira, an analyst with Guide Investimentos in Sao
    Shares of iron-ore miner Vale SA, which counts
China as its biggest customer, were down nearly 5 percent.
    Preferred shares of state-run oil producer Petroleo
Brasileiro SA, known as Petrobras, fell about 3
percent. The company is expected to release unaudited
third-quarter results after market close on Tuesday.
    Investors have been cautious on the outlook for Petrobras
given an ongoing corruption investigation at the firm. Local
media estimate the company may take a charge of nearly $20
billion in the third quarter in relation to the scandal.
    In currency markets, the Brazilian real strengthened
about 0.6 percent, erasing the previous two sessions' losses.
The real has not closed stronger than 2.5735 per dollar since
Dec. 3.
    Traders said the move came on the tail of weaker than
expected durable goods data from the United States.
    Disappointing data from the world's largest economy tends to
boost riskier emerging market currencies because it reduces
expectations that U.S. interest rates could rise sooner than the
market had previously forecast.
    One exception is Mexico, which saw its peso weaken
slightly. Mexico is a key supplier of durable goods to its
northern neighbor, with many products manufactured in plants
near the international border. 

    Key Latin American stock indexes and currencies at 1503 GMT:
 Stock indexes                           daily %     YTD %
                             Latest       change    change
 MSCI Emerging Markets          987.82     -0.09      3.39
 MSCI LatAm                     2690.1      -0.8     -0.59
 Brazil Bovespa               47633.98     -1.94     -4.75
 Mexico IPC                   42389.68     -0.81     -1.75
 Chile IPSA                    3820.38     -0.45     -0.79
 Chile IGPA                   18721.95     -0.38     -0.79
 Argentina MerVal             8770.119     -0.43      2.23
 Colombia IGBC                 10792.4     -0.42     -7.24
 Peru IGRA                    13595.13      0.12     -8.11
 Venezuela IBC                 3739.01      0.35     -3.10
 Currencies                              daily %     YTD %
                                          change    change
 Brazil real                    2.5726      0.63      3.30
 Mexico peso                   14.6083     -0.26      0.93
 Chile peso                      622.5      0.22     -2.59
 Colombia peso                 2383.39      0.26      0.19
 Peru sol                        3.021     -0.13     -1.39
 Argentina peso                 8.6275      0.00     -0.90
 Argentina peso                  13.58      0.59      3.09
 (Reporting by Priscila Jordao; editing by Matthew Lewis)