EMERGING MARKETS-Brazil markets near 2016 highs ahead of Senate vote
BRASILIA, May 11 (Reuters) - Brazilian stocks and currency neared their 2016 highs on Wednesday as the Senate started a session likely to suspend leftist President Dilma Rousseff for up to six months. The central bank intervened in futures markets for the first time since May 3 to limit gains in the currency, the real , as it approached its highest level since August. The bank sold about $1.5 billion in reverse swaps in two auctions. Brazil's benchmark Bovespa stock index also rose, led by banks and energy shares. Yields on interest rate futures dropped, as did five-year credit default swaps. The Senate vote, later on Wednesday, is expected to make Rousseff Brazil's first leader in more than two decades to be removed from office. If her opponents garner a simple majority in the 81-seat Senate, she will be suspended pending a trial that could result in impeachment. The prospect of business-friendly Vice President Michel Temer taking power has driven Brazilian financial markets sharply higher this year, on hopes his team could cut a massive fiscal deficit and return the economy to growth. "Everyone is just waiting for today's big fact, waiting for this definition," said Glauber Romano, a currency trader with Intercam brokerage, of the Senate vote. Elsewhere in Latin America, Mexian stocks were little changed after three consecutive days of gains, while Chilean stocks fell and Colombian shares rose. Latin American currencies gained against the U.S. dollar as global investors booked profits on a day with no major U.S. economic data. Key Latin American stock indexes and currencies at 1546 GMT: Stock Latest daily % YTD % indexes change change MSCI Emerging Markets 809.64 0.34 1.61 MSCI LatAm 2231.04 0.85 20.9 Brazil Bovespa 53448.86 0.71 23.30 Mexico IPC 45678.21 0 6.28 Chile IPSA 3996.83 -0.2 8.60 Chile IGPA 19635.47 -0.32 8.18 Argentina MerVal 13577.89 0.9 16.30 Colombia IGBC 9963.16 1.05 16.56 Venezuela IBC 15358.95 0.02 5.28 Currencies Latest daily % YTD % change change Brazil real 3.4544 0.29 14.26 Mexico peso 17.9200 0.35 -3.85 Chile peso 679.5 -0.15 4.44 Colombia peso 2949.5 0.80 7.45 Peru sol 3.3259 0.24 2.65 Argentina peso (interbank) 14.2225 0.09 -8.72 Argentina peso (parallel) 14.49 0.28 -1.52 (Reporting by Flavia Bohone; Writing by Silvio Cascione; Editing by David Gregorio)
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