EMERGING MARKETS-Latam currencies slip as oil falls, Brexit fears reemerge

jueves 16 de junio de 2016 16:36 GYT
 

(Adds about stock recovery, updates prices)
    By Bruno Federowski
    SAO PAULO, June 16 (Reuters) - Latin American currencies
fell on Thursday as investors returned their focus to a sharp
fall in oil prices and the negative growth implications of
Britain's possible exit from the European Union.
    However, Latin American stocks reversed earlier losses after
campaigning for Britain's vote on whether to leave the EU was
suspended following the murder of a British lawmaker.
    The Colombian peso was by far the biggest loser,
falling more than 1.3 percent, as crude prices  
tumbled about 4 percent to a monthly 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. Britain's exit could undermine decades of
European integration and stoke economic uncertainty.
    Recent polls suggested the support for the "Leave" campaign 
has been gaining momentum, with an Ipsos MORI poll from June
11-14 showing 53 percent of those likely to vote wanted to leave
the bloc and 47 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
report.
    However, some traders interpreted the homicide of a British
Member of Parliament on Thursday, just a week before the key
"Brexit" vote, as making it more likely Britain would stay in
the currency bloc.  
    The news sent stock markets around the world higher, with
Brazil's benchmark Bovespa stock index reversing earlier
losses to close up 0.9 percent.
    Brazil's stocks were also boosted by a rally to nearly 5
percent in planemaker Embraer SA after Bank of
America Merrill Lynch raised 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 1955 GMT:
 Stock indexes                             daily %     YTD %
                               Latest       change    change
 MSCI Emerging Markets            801.11     -0.88      1.77
                                                    
 MSCI LatAm                      2082.24      0.62     13.09
                                                    
 Brazil Bovespa                 49346.96      0.88     13.83
                                                    
 Mexico IPC                     45219.40      0.46      5.22
                                                    
 Chile IPSA                      3966.59      0.21      7.78
                                                    
 Chile IGPA                     19618.68      0.18      8.08
                                                    
 Argentina MerVal               13069.94     -0.35     11.95
                                                    
 Colombia IGBC                   9727.80      0.05     13.81
                                                    
 Venezuela IBC                  14152.35     -2.35     -2.99
                                                    
                                                            
 Currencies                                daily %     YTD %
                                            change    change
                                  Latest            
 Brazil real                      3.4690     -0.12     12.11
                                                    
 Mexico peso                     18.9300     -0.12     -9.87
                                                    
 Chile peso                        688.3     -0.44      3.02
                                                    
 Colombia peso                      3015     -1.33      4.87
                                                    
 Peru sol                          3.333     -0.69      2.37
                                                    
 Argentina peso (interbank)      13.9000     -1.11     -7.07
                                                    
 Argentina peso (parallel)         14.37      0.62     -0.70
                                                    
 
 (Reporting by Bruno Federowski; Additional reporting by
Priscila Jordão and Anna Yukhananov in Mexico City; Editing by
Jeffrey Benkoe and Diane Craft)