EMERGING MARKETS-Mexico, Colombia pesos tumble to life lows as global markets sink

jueves 11 de febrero de 2016 16:17 GYT
 

MEXICO CITY, Feb 11 (Reuters) - The Mexican peso slumped to
a record low on Thursday while Colombia's peso also hit its
weakest level ever as investors dumped riskier assets around the
world.
     Fears of a global economic slowdown and stress in the
banking system hammered global markets and oil prices sank close
to 12-year lows. Both Mexico and Colombia are major crude
producers, but Mexico depends much less on oil exports as it
ships mostly factory-made goods.
    Colombia's peso shed more than 1.4 percent to
close at its lowest ever. The Mexican peso  sank
as much as 2.6 percent to 19.4480 per dollar, its weakest since
a 1993 revaluation, falling even as the central bank sold $400
million in two auctions. 
    The Mexican peso began to pare losses in afternoon trade,
bouncing back to trade about 1.6 percent weaker on the day. It
has lost around 6 percent since Feb. 4, on track to mark its
worst six-day losing streak since late 2011. 
    The Mexican peso has been the one of the biggest victims of
the global rout as many investors use the highly liquid currency
to hedge against emerging market assets in general.
    The Mexican currency has shed around 11 percent against the
dollar so far this year, making it among the top two worst
performers of the world's top 36 most-traded currencies, next to
the Argentine peso that has fallen by about the same amount,
according to Reuters data.
    Investors have been unwinding trades that sought to profit
from high interest rates in emerging markets due to worries
about lower crude prices and concerns weakness in world No. 2
economy China could have lasting effects on the global economy. 
    Bets that financial turmoil will not derail the U.S. Federal
Reserve's plan to increase rates later this year also weighed on
sentiment. 
    Brazil's currency and stocks dropped, also
hit by worries that the government could loosen fiscal policy to
fight a deepening economic recession despite double-digit
inflation.
    
    Latin American stock indexes and currencies at 1430 GMT:
 Stock indexes                                 daily %    YTD %
                                      Latest    change   change
 MSCI Emerging Markets                 713.20    -2.38       -8
 MSCI LatAm                           1658.63    -3.24    -6.32
 Brazil Bovespa                      39344.69    -2.56    -9.24
 Mexico IPC                          42086.06    -1.06    -2.07
 Chile IPSA                           3654.00    -0.59    -0.71
 Chile IGPA                          17960.29    -0.55    -1.05
 Argentina MerVal                    10859.12    -4.29    -6.99
 Colombia IGBC                        8683.47    -0.55     1.59
 Venezuela IBC                       14594.52     0.08     0.04
                                                               
 Currencies                                    daily %    YTD %
                                                change   change
                                       Latest           
 Brazil real                           3.9945    -0.31    -1.19
 Mexico peso                          19.2960    -1.87   -10.71
 Chile peso                            712.55     0.05    -0.40
 Colombia peso                        3440.55    -1.43    -7.86
 Peru sol                              3.5143    -0.23    -2.85
 Argentina peso (interbank)           14.6300    -0.89   -11.26
                                                        
 Argentina peso (parallel)              14.45    -1.38    -1.25
                                                        
                                                               
 

 (Reporting by Michael O'Boyle in Mexico City and Bruno
Federowski in Sao Paulo; Editing by Chizu Nomiyama)