EMERGING MARKETS-Latam stocks, currencies up ahead of British referendum
By Bruno Federowski SAO PAULO, June 22 (Reuters) - Latin American stocks and currencies rose on Wednesday as optimism grew that Britain would vote to remain in the European Union a day before the closely watched referendum. Betting markets have shown bigger chances of a "Remain" victory, though opinion polls have generally indicated a tight race. Investors worry a possible "Brexit" could disrupt financial markets and weigh on global risk appetite. The Mexican peso strengthened for a fourth consecutive day, sidestepping a drop in crude prices. The peso had weakened to a four-month low last week, nearing levels which last triggered direct central bank intervention. On Tuesday, a central bank board member flagged the recent slump in the peso as the biggest risk to its efforts to meet its inflation target. Brazil's benchmark Bovespa stock index rose 0.7 percent on the back of the uptick in global sentiment. Shares of Centrais Elétricas Brasileiras SA jumped 9 percent after a local newspaper reported the government had asked the outgoing chief executive officer of CPFL Energia SA to become CEO of Eletrobras, as the state-run energy company is known. Shares of Kroton SA, however, slipped 0.6 percent as the dispute for smaller rival Estácio Participações SA heated up. The Chief Executive of Ser Educacional SA, also a prospective buyer, told Reuters on Tuesday the company could sweeten the terms of its bid. Key Latin American stock indexes and currencies at 1520 GMT: Stock indexes daily % YTD % change change Latest MSCI Emerging Markets 831.77 0.78 3.93 MSCI LatAm 2182.82 0.96 18.15 Brazil Bovespa 51135.95 0.59 17.96 Mexico IPC 45700.70 -0.01 6.34 Chile IPSA 3998.79 0.24 8.66 Chile IGPA 19753.50 0.2 8.83 Argentina MerVal 13936.46 1.86 19.37 Colombia IGBC 9900.94 0.14 15.84 Venezuela IBC 14064.48 0 -3.59 Currencies daily % YTD % change change Latest Brazil real 3.3821 0.69 16.70 Mexico peso 18.5500 0.40 -7.12 Chile peso 672 0.48 5.61 Colombia peso 2949.5 0.84 7.45 Peru sol 3.2799 0.22 4.09 Argentina peso (interbank) 14.0300 -0.43 -7.47 Argentina peso (parallel) 14.46 0.00 -1.31 (Reporting by Bruno Federowski; Editing by Chizu Nomiyama)
© Thomson Reuters 2016 All rights reserved.