EMERGING MARKETS-Brazil markets slide as impeachment vote annulled

lunes 9 de mayo de 2016 12:15 GYT

SAO PAULO, May 9 (Reuters) - Brazil's currency weakened as
much as 5 percent and stocks tumbled on Monday after the acting
Lower House Speaker annulled an impeachment vote, a move seen as
decreasing the likelihood of a more market-friendly government
taking power.
    Brazil's benchmark Bovespa stock index slid 3
percent while the broader MSCI Latin American stock index
 was down 2.4 percent, also hurt by weaker
commodity prices following unfavorable economic data in China.
    Shares of state-run oil firm Petrobras dropped as
much as 12 percent while Brazilian interest rate future jumped
more than 50 basis points after the surprise development just
two days before the Senate had been expected to vote to put
President Dilma Rousseff on trial.
    The process was now expected to return to the lower house,
which had earlier voted overwhelmingly to oust Rousseff. Markets
have strengthened in recent weeks on expectations Vice President
Michel Temer would take office and put austerity measures in
place to better control public spending. 
    The impeachment proceedings were over Rousseff's alleged
manipulation of public accounts and not over a sweeping
kickbacks scandal focused on state oil company Petroleo
Brasileiro SA, commonly known as Petrobras.
    The process has been criticized because it was started by
Eduardo Cunha, the former lower house speaker who was removed
last week due to pending charges he took bribes. 
    Central bank director Altamir Lopes said the market
volatility was natural given the news, speaking from the
northern city of Belem. 
    Shares of Brazilian meatpacker JBS fell 5
percent, also hurt by reports in local media that witnesses in a
corruption scandal had testified the company made illegal
campaign donations to Rousseff's campaign, allegations the
company denied. 
    Key Latin American stock indexes and currencies at 1544 GMT:
 Latin American market                                 
 prices from Reuters                            
 Stock indexes               Latest      Daily  YTD pct
                                           pct   change
 MSCI Emerging Markets          797.86   -0.93     1.41
 MSCI LatAm                   2,105.08   -2.44    17.92
 Brazil Bovespa              50,564.85   -2.23    16.64
 Mexico IPC                  44,963.20   -0.55     4.62
 Chile IPSA                   3,976.11   -0.67     8.04
 Chile IGPA                  19,575.67   -0.58     7.85
 Argentina MerVal            12,977.83   -3.53    11.16
 Colombia IGBC                9,602.81    0.22    12.35
 Venezuela IBC               15,357.17   -0.07     5.27
 Currencies                     Latest   Daily  YTD pct
                                           pct   change
 Brazil real                    3.5785   -2.12    10.30
 Mexico peso                   18.1635   -1.56    -5.14
 Chile peso                      674.2   -1.36     5.27
 Colombia peso                2,957.01   -0.10     7.18
 Peru sol                       3.3409   -0.92     2.19
 Argentina peso (interbank)    14.2150    0.00    -8.67
 Argentina peso (parallel)       14.51    0.21    -1.65
 (Reporting by Caroline Stauffer; additional reporting by Alonso
Soto in Belem, editing by G Crosse)