EMERGING MARKETS-Latam stocks, currencies down as Brexit worries reemerge

jueves 16 de junio de 2016 11:30 GYT

By Bruno Federowski
    SAO PAULO, June 16 (Reuters) - Latin American stocks and
currencies fell on Thursday as investors returned their focus to
Britain's possible exit from the European Union.
    The Colombian peso was by far the biggest loser as
crude prices  tumbled more than 3 percent to a
three-week low.
    Emerging market assets had risen the previous day after the
U.S. Federal Reserve took a cautious stance over when it could
go back to increasing interest rates. 
    But the positive tone faded as concerns over the economic
implications of the June 23 "Brexit" referendum sparked global
risk aversion.
    Recent polls suggested the support for the "Leave" campaign 
has been gaining momentum, with an Ipsos MORI poll from June
11-14 showed 51 percent wanted to leave the bloc and 49 percent
wanted to stay. 
    "While we don't envisage widespread or prolonged financial
market dislocation, it's reasonable to assume that a vote to
leave would have a negative impact on business and global
investor confidence," analysts with Capital Economics wrote in a
    Traders also avoided riskier assets after the Bank of Japan
refrained from further stimulus despite slow inflation and
global growth. 
    Brazil's benchmark Bovespa stock index fell 0.8
percent, weighed down by a drop in financial shares.
    Losses were limited by a rally in planemaker Embraer SA
 after Bank of America Merrill Lynch boosted its
recommendation to "buy."
    Shares of CPFL Energia SA also rose after
Brazil's largest private utility agreed to buy a power
distributor owned by AES Corp in southern Brazil for 1.7
billion reais ($488 million). 
    Key Latin American stock indexes and currencies at 1510 GMT:
 Stock indexes                               daily %   YTD %
                                              change  change
 MSCI Emerging Markets               797.08    -1.37    1.77
 MSCI LatAm                         2046.77    -1.09   13.09
 Brazil Bovespa                    48523.51     -0.8   11.93
 Mexico IPC                        44733.90    -0.62    4.09
 Chile IPSA                         3945.42    -0.32    7.21
 Chile IGPA                        19529.33    -0.28    7.59
 Argentina MerVal                  12876.09    -1.83   10.29
 Colombia IGBC                      9697.21    -0.26   13.45
 Venezuela IBC                     14623.35      0.9    0.24
 Currencies                                  daily %   YTD %
                                              change  change
 Brazil real                         3.4870    -0.63   13.19
 Mexico peso                        19.0100    -0.54   -9.36
 Chile peso                           689.3    -0.48    2.96
 Colombia peso                      3018.57    -1.43    4.99
 Peru sol                            3.3339    -0.72    2.40
 Argentina peso (interbank)         13.7525    -0.04   -5.60
 Argentina peso (parallel)            14.39     0.49   -0.83

 (Reporting by Bruno Federowski; Additional reporting by
Priscila Jordão; Editing by Jeffrey Benkoe)