EMERGING MARKETS-Latam stocks, currencies up ahead of British referendum

miércoles 22 de junio de 2016 17:01 GYT
 

(Adds Colombia, analyst comment on Mexico, updates prices)
    By Bruno Federowski
    SAO PAULO, June 22 (Reuters) - Most 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.
    The Mexican peso  strengthened for a fourth
consecutive day, sidestepping a drop in crude prices. The peso
in Colombia jumped 1.9 percent to its highest in two
weeks.
    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.
    Mexico's peso had weakened to a four-month low last week,
nearing levels which last triggered direct central bank
intervention.
    The currency in Mexico, Latin America's second-biggest
economy, is often used as a proxy for traders taking short
positions in other emerging currencies, and could suffer most in
the region if Britain votes to leave the European Union.
    "Despite the recent reiteration of Banxico's hawkish bias,
we consider the (Mexican peso) as the most vulnerable in (Latin
America) to a flare-up in global macro risks," Societe Generale
emerging market strategists said in a note.
    On Tuesday, a board member from the Bank of Mexico flagged
the recent slump in the peso as the biggest risk to Mexico's
efforts to meet its inflation target. 
    Brazil's benchmark Bovespa stock index fell 1.2
percent after rising 4.6 percent over five consecutive positive
sessions.
    
    Key Latin American stock indexes and currencies at 1956 GMT:
 Stock indexes                             daily %     YTD %
                               Latest       change    change
 MSCI Emerging Markets            830.86      0.67      3.93
                                                    
 MSCI LatAm                      2166.91      0.23     18.15
                                                    
 Brazil Bovespa                 50228.74      -1.2     15.87
                                                    
 Mexico IPC                     45802.81      0.21      6.57
                                                    
 Chile IPSA                      3994.67      0.14      8.54
                                                    
 Chile IGPA                     19736.48      0.12      8.73
                                                    
 Argentina MerVal               13757.43      0.55     17.83
                                                    
 Colombia IGBC                   9874.35     -0.12     15.53
                                                    
 Venezuela IBC                  13957.46     -0.76     -4.32
                                                    
                                                            
 Currencies                                daily %     YTD %
                                            change    change
                                  Latest            
 Brazil real                      3.3780      0.80     14.42
                                                    
 Mexico peso                     18.5015      0.66     -7.38
                                                    
 Chile peso                       674.23      0.20      5.00
                                                    
 Colombia peso                      2918      1.89      7.93
                                                    
 Peru sol                          3.286      0.03      3.75
                                                    
 Argentina peso (interbank)      14.0700     -0.72     -8.38
                                                    
 Argentina peso (parallel)         14.51     -0.35     -1.68
                                                    
 
 (Reporting by Bruno Federowski, additional reporting by Michael
O'Boyle and Anna Yukhananov; Editing by Chizu Nomiyama and Diane
Craft)