EMERGING MARKETS-Brazil stocks, currency fall after local market holiday
By Bruno Federowski and Paula Arend Laier SAO PAULO, April 22 (Reuters) - Brazil's equities and currency fell on Friday as investors adjusted to a Latin American selloff the previous day, when the country's markets were closed due to a holiday. Slumps in commodity prices and U.S. stocks drove investors to seek refuge in safer assets on Thursday, hammering emerging market securities. U.S.-listed shares of Vale SA fell steeply on Thursday, tracking a decline in iron ore prices. The miner's Brazil-listed stocks caught up on Friday, dropping 6 percent and weighing on the benchmark Bovespa stock index. Shares of state-controlled oil company Petróleo Brasileiro SA, however, rose 3.3 percent as oil prices rebounded from the previous day's tumble. Crude prices looked set to post their thirdly weekly gain in a row amid signs that a global supply glut could be easing. Shares of Petrobras, as the company is known, led the Argentine stock exchange higher. Brazil's real currency weakened as the central bank maintained its policy of purchasing dollars in futures markets from local investors. The bank has bought around $32 billion so far this month using instruments known as reverse currency swaps as the real rallied on expectations of President Dilma Rousseff's ouster. Speaking at the United Nations, Rousseff warned Brazil is going through a "grave" political moment. She could be removed from office in weeks, pending a Senate judgment. Key Latin American stock indexes and currencies at 1530 GMT: Stock indexes daily % YTD % Latest change change MSCI Emerging Markets 844.30 -1.1 7.5 MSCI LatAm 2211.34 -1.47 22.65 Brazil Bovespa 53048.93 -1.09 22.37 Mexico IPC 45651.35 0.21 6.22 Chile IPSA 3973.54 -0.32 7.97 Chile IGPA 19522.06 -0.24 7.55 Argentina MerVal 14162.87 1.71 21.31 Colombia IGBC 10191.01 0.24 19.23 Currencies daily % YTD % change change Latest Brazil real 3.5877 -1.65 10.01 Mexico peso 17.4450 0.09 -1.23 Chile peso 669.2 -0.63 6.05 Colombia peso 2942.86 -0.06 7.69 Peru sol 3.2779 -0.33 4.15 Argentina peso (interbank) 14.4650 -1.21 -10.25 Argentina peso (parallel) 14.77 0.20 -3.39 (Reporting by Bruno Federowski and Paula Arend Laier; Editing by Meredith Mazzilli)
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