EMERGING MARKETS-Brazil's real rallies as future economic policy eyed

miércoles 26 de noviembre de 2014 11:07 GYT
 

SAO PAULO, Nov 26 (Reuters) - Brazil's currency, the real,
strengthened for the second straight day on Wednesday as
investors grew more confident that President Dilma Rousseff
would name banker Joaquim Levy, a market favorite, as finance
minister.
   The real was trading nearly 1 percent higher at midday at
2.5516 to the dollar. Other Latin American currencies were
mostly weaker against the dollar, while stock markets were
little changed.
    Rousseff will likely name the market-friendly Levy as her
new finance minister on Thursday as well as announce the rest of
her second-term economic team, a government official told
Reuters on Tuesday.
    Levy, a University of Chicago-trained economist and a fiscal
hawk, is expected to take over the ministry on Dec. 1, the
official told Reuters. 
    "The market is enthusiastic," said Reginaldo Galhardo, head
of currency trading at Treviso Brokerage in Sao Paulo. "Because
confidence has improved, investors are unwinding a lot of (long
dollar) positions they had put together in case of a possible
disappointment."
    Other traders said they were looking toward the potential
announcement of government spending reforms later this week.
    Rousseff, recently re-elected for a second term, has pledged
to address excess government spending, a factor that has weighed
negatively on the country's credit rating.
    Elsewhere in Latin America, the Chilean, Mexican and
Colombian pesos all weakened between 0.3 percent and 0.5
percent, weighed down by strong consumer spending data in the
United States. 
    Positive U.S. economic data tends to increase expectations
for an interest rate hike in the world's largest economy and
drive investors away from riskier assets.
    
    Key Latin American stock indexes and currencies at 1445 GMT:
    
 Stock indexes                        daily %    YTD %
                             Latest    change   change
 MSCI Emerging Markets        1011.8     0.27     0.64
                                               
 MSCI LatAm                  3102.27     0.13     -3.2
                                               
 Brazil Bovespa             55414.31    -0.26     7.59
                                               
 Mexico IPC                  44551.5     0.25     4.27
                                               
 Chile IPSA                  3984.33     0.21     7.71
                                               
 Chile IGPA                 19421.02      0.2     6.55
                                               
 Argentina MerVal           10019.64     0.83    85.86
                                               
 Colombia IGBC               12651.6    -0.21    -3.21
                                               
 Peru IGRA                   15356.3    -0.02    -2.52
                                               
 Venezuela IBC               2969.12        0     8.50
                                               
                                                      
 Currencies                           daily %    YTD %
                                       change   change
                              Latest           
 Brazil real                  2.5116     0.98    -6.16
                                               
 Mexico peso                 13.7447    -0.53    -5.20
                                               
 Chile peso                    600.5    -0.32   -12.39
                                               
 Colombia peso                2167.5    -0.44   -10.87
 Peru sol                      2.914    -0.14    -4.15
                                               
 Argentina peso               8.5200     0.03   -23.80
 (interbank)                                   
                                               
 Argentina peso                13.25     0.75   -24.53
 (parallel)                                    
                                               
 
    

 (Reporting by Bruno Federowski; Writing by Asher Levine Editing
by W Simon)