EMERGING MARKETS-Brazil assets jump on Rousseff woes, Mexico stocks up

miércoles 9 de diciembre de 2015 20:23 GYT
 

(Updates with closing prices)
    SAO PAULO, Dec 9 (Reuters) - Brazil's stock market surged on
Wednesday and the real jumped against the dollar as investors
cheered a fresh setback to under-fire President Dilma Rousseff,
while Mexico's share index rose to break a five-day losing
streak.
    Mexico's peso dipped 0.3 percent to 17.065 pesos per
dollar in a volatile trading day in which crude prices rose
  on strong Japanese economic data and lower oil
storage figures in the United States. However, worries about
global oversupply lingered. 
    The Colombian peso  rose 0.76 percent to
3,283.10 pesos per dollar adjusting to oil's slump to 2009 lows
on Tuesday, when markets were closed for a holiday. 
    Mexico's IPC stock index rose by 0.38 percent, ending
the five-day losing run that had knocked 4 percent off it.
    Brazil's stock market surged by 3.75 percent, while
the real appreciated by 1.92 percent against the
greenback to close at 3.737 per dollar.
    Investors cheered after Rousseff's government suffered a new
blow on Tuesday, when the lower house of Congress appointed a
committee full of her opponents to study whether to impeach her.
 
    Still, Brazil's Supreme Court on Wednesday said it had
suspended impeachment proceedings against Rousseff until it
rules on their validity. 
    Some traders believe an impeachment could help Brazil fight
what is likely to be its longest recession since the 1930s by
ushering in more market-friendly policies.
    Others warn that political wrangling could delay efforts to
cut spending and raise taxes, possibly triggering a downgrade of
the country's sovereign debt.
    "The current interpretation is that yesterday's events
represent a defeat for the government and this is positive for
the market," said João Paulo de Gracia Correa, a trader at
Correparti brokerage in Curitiba.
    "But it is still too early and the situation is too
premature to have a medium-term assessment," he added.
    Grupo BTG Pactual SA shares dropped 9 percent to
a record low as investors worried that the arrest of its former
Chief Executive André Esteves could hamper the bank's
performance. The stock has shed more than half its value since
Esteves was taken into custody.
    
    Latin American stock indexes at 2300 GMT:
 Stock indexes                                daily %    YTD %
                                               change   change
                              Latest                   
 MSCI Emerging Markets           795.23         -0.03   -16.84
                                                       
 MSCI LatAm                    1,935.61          2.67   -29.04
                                                       
 Brazil Bovespa               46,108.03          3.75    -7.80
                                                       
 Chile IPSA                    3,559.16         -0.86    -7.58
                                                       
 Chile IGPA                   17,601.99         -0.79    -6.72
                                                       
 Mexico IPC                    42,398.0          0.38    -1.73
                              6                        
 Argentina MerVal             13,302.89          1.77    55.06
                                                       
 Colombia IGBC                 7,935.35          0.97   -31.80
                                                       
 Venezuela IBC                14,654.84          3.14   279.78
                                                       
 
 (Reporting by Bruno Federowski and Jean Luis Arce; Editing by
Nick Zieminski and Cynthia Osterman)