EMERGING MARKETS-Brazil real, Mexico peso jump after BOJ cuts rates below zero

viernes 29 de enero de 2016 11:13 GYT
 

By Bruno Federowski
    SAO PAULO, Jan 29 (Reuters) - The Brazilian real and the
Mexican peso jumped on Friday after the Bank of Japan
unexpectedly cut a benchmark rate below zero, fostering demand
for high-yielding assets.
    The move stunned investors who believed Japanese
policymakers were too cautious to follow the European Central
Bank, which ventured to negative territory in 2014. 
    Data showing a sharp decrease in U.S. economic growth in the
fourth quarter also helped sentiment, boosting bets on a slower
pace for U.S. interest rate hikes. 
    "It seems the global environment will continue to be one of
near-zero interest rates," said Luis Felipe Laudísio, a
fixed-income trader at Renascença brokerage in São Paulo.
    The Brazilian real advanced 1.8 percent towards 4
reais per U.S. dollar. The Mexican peso rose 0.9 percent,
also helped by data showing the country's economy picked up in
2015. 
    Mexico's currency commission on Thursday extended a daily
dollar auction program, disappointing some who expected an
increase in intervention. 
    The Chilean peso was nearly unchanged after the
minutes of a central bank policy meeting showed policymakers saw
inflation returning to its target range during the second half
of 2016. Traders said the document confirmed expectations that
any future policy tightening should be gradual. 
    
    Latin American stock indexes and currencies at 1450 GMT:
 Stock indexes                                daily %   YTD %
                                               change  change
                                   Latest              
 MSCI Emerging Markets                738.51     2.25   -9.06
 MSCI LatAm                          1714.75      2.9   -8.93
 Brazil Bovespa                     39633.54      2.6   -8.57
 Mexico IPC                         42853.09     1.09   -0.29
 Chile IPSA                          3624.43     0.87   -1.52
 Chile IGPA                         17889.95     0.76   -1.44
 Argentina MerVal                   11078.43     1.79   -5.11
 Colombia IGBC                       8579.32     0.69    0.37
 Venezuela IBC                      14043.49     0.08   -3.73
                                                             
 Currencies                                   daily %   YTD %
                                               change  change
                                      Latest           
 Brazil real                          4.0073     1.75   -1.50
 Mexico peso                         18.1600     0.88   -5.12
 Chile peso                            709.8     0.00   -0.01
 Colombia peso                        3267.4     0.33   -3.00
 Peru sol                             3.4681    -0.09   -1.56
 Argentina peso (interbank)          13.8900    -0.22   -6.53
                                                       
 Argentina peso (parallel)             14.21     0.56    0.42
                                                       
 
 (Reporting by Bruno Federowski; Editing by Lisa Von Ahn)