EMERGING MARKETS-Mexico, Colombia peso rise on China stimulus hopes

martes 1 de marzo de 2016 12:52 GYT
 

By Bruno Federowski
    SAO PAULO, March 1 (Reuters) - The Mexican and Colombian
pesos strengthened on Tuesday as investors saw weak Chinese
economic data strengthening the case for more stimulus after
unexpected monetary easing a day before.
    The People's Bank of China (PBOC) announced on Monday a cut
in the amount of cash banks must hold as reserves. 
    Many traders bet that China would take additional steps to
shore up its economy, speculation that gained traction after
surveys showed that activity in China's manufacturing and
services sectors slowed in February.  
    Stronger-than-expected U.S. economic figures also helped the
Mexican peso  strengthen below 18 per U.S.
dollar. Traders said that triggered stop-loss orders that kept
the currency in the black despite lower oil prices. 
    Latin American currencies have been hard hit this year by a
crude supply glut and concerns over China's economy.
    The Mexican peso has taken more punishment than its peers as
many traders use the highly liquid currency to hedge their
exposure to Latin American assets in general. However, this gap
has nearly closed since the country's central bank strengthened
its intervention policy last month.
    The Argentine peso fell to a record low at 16 per U.S.
dollar as demand for the U.S. currency remained strong after the
foreign exchange market was freed late last year. The currency
declined even after Argentina reached an agreement with its main
holdout creditors, paving the way for it to return to global
credit markets. 
    
    Key Latin American stock indexes and currencies at 1555 GMT:
 Stock indexes                               daily %    YTD %
                                              change   change
                                  Latest              
 MSCI Emerging Markets               752.40     1.63    -6.78
 MSCI LatAm                         1832.41     1.57    -1.41
 Brazil Bovespa                    43615.89     1.92     0.61
 Mexico IPC                        43880.44     0.38     2.10
 Chile IPSA                         3736.29     0.55     1.52
 Chile IGPA                        18338.69     0.44     1.03
 Argentina MerVal                  13086.74    -0.22    12.09
 Colombia IGBC                      9278.22     0.97     8.55
 Venezuela IBC                     16463.85     0.43    12.86
                                                             
 Currencies                                  daily %    YTD %
                                              change   change
                                     Latest           
 Brazil real                         3.9765     0.62    -0.74
 Mexico peso                        17.9200     1.20    -3.85
                                                      
 Chile peso                           694.5     0.19     2.19
 Colombia peso                      3270.72     0.60    -3.10
 Peru sol                              3.52     0.06    -3.01
 Argentina peso (interbank)         15.9200    -0.75   -18.45
                                                      
 Argentina peso (parallel)            15.66    -0.32    -8.88
                                                      
 

 (Reporting by Bruno Federowski; Editing by Toni Reinhold)