EMERGING MARKETS-Latam currencies down before Fed; Venezuelan assets jump after election

lunes 7 de diciembre de 2015 10:56 GYT

SAO PAULO, Dec 7 (Reuters) - Latin American currencies were
mostly weaker on Monday as investors braced for an expected U.S.
interest rate hike next week, which could drain funds from
emerging markets.
    The Mexican peso weakened 1 percent, although some
investors found solace in the U.S. Federal Reserve's repeated
assurances that it plans to proceed slowly with increases in
borrowing costs.
    The Colombian peso underperformed its peers,
pressured by a drop in oil prices to their lowest in almost
seven years. The move came after the world's biggest producers
failed to agree on curbing output despite a global supply glut.
    Venezuelan assets were a bright spot after the country's
opposition thrashed the ruling party in parliamentary elections
on Sunday.
    Hopes of market-friendly reforms in the crisis-plagued
economy fostered demand for dollar-denominated sovereign bonds,
as well as debt issued by state oil firm Petroleos de Venezuela
(PDVSA). However, some analysts warned that the optimism could
be overblown.  
    "We suspect that the more immediate outcome ... would be a
messy power struggle between the Assembly and the president,"
wrote Capital Economics emerging market economist Edward Glossop
in a client note.
    The Brazilian real was nearly unchanged as investors
digested the financial implications of a possible impeachment
against President Dilma Rousseff.
    Latin American stock indexes and currencies at 1430 GMT:
 Stock indexes                              daily %   YTD %
                                             change  change
 MSCI Emerging Markets              809,73    -0,31  -15,06
 MSCI LatAm                        1956,23     0,21  -28,43
 Brazil Bovespa                   45836,91     1,05   -8,34
 Mexico IPC                       43059,12     0,15   -0,20
 Chile IPSA                        3623,83      0,3   -5,90
 Chile IGPA                       17891,64     0,27   -5,19
 Argentina MerVal                 13070,63     1,16   52,36
 Colombia IGBC                     8023,61    -0,34  -31,04
 Venezuela IBC                    13117,29     1,84  239,94
 Currencies                                 daily %   YTD %
                                             change  change
 Brazil real                        3,7371    -0,03  -28,89
 Mexico peso                       16,8311    -1,03  -12,40
 Chile peso                          706,8    -0,64  -14,20
 Colombia peso                        3265    -1,90  -26,86
 Peru sol                           3,3711    -0,09  -11,63
 Argentina peso (interbank)         9,7275    -0,08  -12,10
 Argentina peso (parallel)           14,76    -0,20   -5,15
 (Reporting by Bruno Federowski; Editing by Bill Trott)