EMERGING MARKETS-Mexico peso sinks to record low, Brazil stocks slump

miércoles 20 de enero de 2016 17:58 GYT
 

(Adds IIF data)
    By Bruno Federowski
    SAO PAULO, Jan 20 (Reuters) - Mexico's peso tumbled to a
record low on Wednesday and Brazil's stock market sank to its
lowest level since early 2009 as a slump in oil prices drove a
further sell-off of riskier assets around the globe.
    Growing concerns about global oversupply due to the lifting
of international sanctions on Iran drove U.S. crude prices to
their lowest since 2003, sparking big losses on Wall Street.
    Chinese stocks also fell as lower energy prices offset
expectations that economic stimulus in the world's top consumer
of commodities could stabilize this year's rout in emerging
market assets. 
    The Mexican peso set an all-time low of 18.71 per
dollar but pared losses. The peso has shed nearly 7 percent in
January, on track to post its worst month since May 2012, amid
an unrelenting dive in riskier assets.  
    Analysts expect Mexico's central bank to bolster its program
of dollar auctions, which is set to expire at the end of the
month, in a bid to support the peso.
    The Washington-based Institute of International Finance,
which follows the developing world's investment flows, predicted
emerging market stocks are headed for another year of outflows
as global growth slows, with Brazil one of the most vulnerable
countries. 
    The Brazilian real dropped 1.1 percent to a
four-month low, and the country's Bovespa stock index 
fell to its lowest since 2009.
    Yields paid on short-term interest rate futures contracts
fell for the second straight day ahead of a central bank
interest rate decision after the market close.
    Traders continued to unwind bets that the bank would
increase its benchmark rate sharply to fight stubbornly high
inflation, despite a deepening recession.
    
    Latin American stock indexes and currencies at 2100 GMT:
 Stock indexes                                daily %     YTD %
                                               change    change
                                  Latest               
 MSCI Emerging Markets               694.36      -2.8    -10.04
 MSCI LatAm                         1588.43     -1.78    -11.62
                                                       
 Brazil Bovespa                    37645.48     -1.08    -13.16
 Mexico IPC                        40844.41     -0.09     -5.22
 Chile IPSA                         3455.74     -0.68     -6.10
 Chile IGPA                        17160.27     -0.63     -5.46
 Argentina MerVal                   9401.06     -4.08    -19.48
 Colombia IGBC                      8074.00      0.65     -5.54
 Venezuela IBC                     14473.05      0.05     -0.79
                                                               
 Currencies                                   daily %     YTD %
                                               change    change
                                     Latest            
 Brazil real                         4.1025     -1.21     -3.79
                                                       
 Mexico peso                        18.4920     -1.15     -6.83
                                                       
 Chile peso                             729     -0.52     -2.65
 Colombia peso                       3392.4     -2.47     -6.58
 Peru sol                            3.4451     -0.23     -0.90
                                                       
 Argentina peso (interbank)         13.4800     -0.37     -3.69
                                                       
 Argentina peso (parallel)             14.3      0.49     -0.21
                                                       
 
 (Additional reporting by Anna Yukhananov and Michael O'Boyle in
Mexico City; Editing by Lisa Von Ahn and Phil Berlowitz)