EMERGING MARKETS-Most Latam currencies fall on U.S. data, Brazil real jumps

viernes 1 de abril de 2016 18:09 GYT

By Bruno Federowski
    SAO PAULO, April 1 (Reuters) - Most Latin American
currencies weakened on Friday after stronger-than-expected U.S.
employment data fostered bets that the Federal Reserve could
raise interest rates sooner than previously expected.
    The Mexican peso  slid 0.41 percent on
falling oil prices after the Saudi deputy crown prince said
Saudi Arabia will freeze crude oil production only if Iran and
other major producers agree to do so. 
    The Brazilian real  bucked the trend, gaining
nearly 1 percent against the dollar after the police arrested
former leaders of the ruling Workers' Party as part of a
spreading corruption probe. 
    The arrests dealt another blow to the party of leftist
President Dilma Rousseff, who is unpopular with many investors
and is the subject of impeachment proceedings in Congress.
    The belief that a change in government would prove more
investor friendly helped drive the real's 11 percent gain in
March, its best monthly performance in 13 years.
    Several other Latin American currencies, however, fell after
U.S. employment rose solidly and wages bounced back in March,
while U.S. manufacturing activity rose in March.
    Some traders bet that could allow the Fed to increase rates
later this year, possibly draining funds away from high-yielding
emerging markets. 
    Latin American currencies had rallied this week after Fed
Chair Janet Yellen said the U.S. central bank would be cautious
in tightening policy. 
    Key Latin American stock indexes and currencies at 2105 GMT:

 Stock indexes                              daily %     YTD %
                               Latest        change    change
 MSCI Emerging Markets            826.19      -1.27      4.04
 MSCI LatAm                      2161.32      -0.33     18.12
 Brazil Bovespa                 50561.53       1.01     16.64
 Mexico IPC                     46062.92        0.4      7.18
 Chile IPSA                      3947.34       0.25      7.26
 Chile IGPA                     19340.64       0.23      6.55
 Argentina MerVal               13179.84       1.44     12.89
 Colombia IGBC                   9890.05       0.19     15.71
 Venezuela IBC                  14912.71       2.32      2.22
 Currencies                                 daily %     YTD %
                                             change    change
 Brazil real                      3.5603      0.933    10.861
 Mexico peso                      17.343      -0.41    -0.652
 Chile peso                        669.2      -0.33      6.05
 Colombia peso                    3037.6       0.00      4.34
 Peru sol                          3.341      -1.10      2.18
 Argentina peso (interbank)      14.7850      -0.44    -12.19
 Argentina peso (parallel)         15.16       0.66     -5.87
 (Reporting by Bruno Federowski; Additional reporting by Miguel
Angel Gutierrez; Editing by James Dalgleish)