EMERGING MARKETS-Brazil markets slip on troubling economic data
SAO PAULO, June 19 (Reuters) - Brazilian financial markets sank on Friday after a round of disappointing labor, inflation and activity data reinforced pessimism over the outlook for Latin America's largest economy. The Brazilian real posted the sharpest intraday loss among Latin American currencies, while the benchmark Bovespa stock index dropped about 1 percent. Data on Friday showed Brazil lost jobs in May at an unprecedented pace for the month as economic activity tumbled and inflation soared beyond forecasts. The numbers underscore expectations that Brazil's economy is shrinking at the fastest pace in a quarter century this year. Currencies across the region, including Brazil, were also sunk by heightened risk aversion on mounting tensions over the possibility of a Greek sovereign default. Losses in Brazil's Bovespa were concentrated in shares of major banks and commodities exporters, which often track global risk appetite given their tendency to attract a larger share of foreign investors. Shares of petrochemicals producer Braskem SA plunged 7 percent after Brazil's Federal Police arrested the chief executive officer of major shareholder Odebrecht SA. Mexican and Chilean stocks were little changed, while the broader MSCI Latin American stock index dropped about 1.2 percent. Key Latin American stock indexes and currencies at 1752 GMT: Stock indexes daily % YTD % Latest change change MSCI Emerging Markets 975.94 -0.17 2.23 MSCI LatAm 2564.31 -1.2 -4.85 Brazil Bovespa 53704.34 -0.98 7.39 Mexico IPC 45129.02 0.02 4.60 Chile IPSA 3907.62 -0.17 1.47 Chile IGPA 19030.91 -0.14 0.85 Argentina MerVal 11332.25 0.6 32.09 Colombia IGBC 10263.67 -0.35 -11.78 Peru IGRA - - - Venezuela IBC 12195.3 -7.44 216.04 Currencies daily % YTD % change change Latest Brazil real 3.0806 -0.73 -13.73 Mexico peso 15.319 0.16 -3.75 Chile peso 632.25 -0.67 -4.09 Colombia peso 2554 -0.52 -6.50 Peru sol 3.1671 -0.09 -5.94 Argentina peso 9.0550 -0.03 -5.58 (interbank) Argentina peso 12.91 1.32 8.44 (parallel) (Reporting by Asher Levine; Editing by Jonathan Oatis)
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