April 12, 2017 / 5:32 PM / a year ago

EMERGING MARKETS-LatAm currencies seesaw as geopolitical concerns persist

    SAO PAULO, April 12 (Reuters) - Latin American currencies
seesawed on Wednesday as global geopolitical concerns persisted
amid escalating tensions in Syria and North Korea, dimming
interest in risky emerging market assets.
    Russian President Vladimir Putin said trust had eroded
between the United States and Russia under President Donald
Trump, as Moscow delivered an unusually hostile reception to
Secretary of State Rex Tillerson in a face-off over Syria.

    Chinese President Xi Jinping urged a peaceful resolution of
the Korean crisis in a telephone conversation with Trump, as a
U.S. aircraft carrier strike group steamed towards the region.

    Against the U.S. dollar, the Brazilian real weakened
0.3 percent, while the Mexican peso was nearly flat.
    Brazilian markets mostly shrugged off a Supreme Court
justice decision to order corruption probes into nearly 100
politicians, including leading lawmakers and a third of
President Michel Temer's Cabinet.
    "The market believes this political noise will not derail
the reforms," Nova Futura economist Pedro Paulo Silveira said,
referring to Temer's ambitious structural reform agenda, widely
favored by investors. The proposals include a revamp of the
pension system.
    Many investors also stepped to the sidelines ahead of a
central bank interest rate decision after the market close. The
bank is widely expected to step up monetary easing, cutting the
Selic benchmark rate by 100 basis points to 11.25 percent.

    Brazil's benchmark Bovespa stock index slipped 0.4
percent, with shares of power utility Cia Energética de Minas
Gerais SA among the biggest losers following the
company's disappointing fourth-quarter earnings.
    Key Latin American stock indexes and currencies at 1635 GMT:

 Stock indexes                                        daily %       YTD %
                                   Latest              change      change
 MSCI Emerging Markets                     958.67        0.44       10.69
 MSCI LatAm                               2611.55       -0.63       12.28
 Brazil Bovespa                          64100.67        -0.4        6.43
 Mexico IPC                              49057.98       -1.17        7.48
 Chile IPSA                               4854.12       -0.45       16.93
 Chile IGPA                              24326.62       -0.41       17.33
 Argentina MerVal                        20701.85       -1.39       22.37
 Colombia IGBC                           10212.48       -0.16        0.83
 Venezuela IBC                           47030.02        0.47       48.34
 Currencies                                           daily %       YTD %
                                           Latest      change      change
 Brazil real                               3.1555       -0.30        2.97
 Mexico peso                              18.7610        0.09       10.57
 Chile peso                                 653.3        0.24        2.66
 Colombia peso                            2871.78        0.01        4.52
 Peru sol                                   3.254       -0.09        4.92
 Argentina peso (interbank)               15.1850        0.56        4.54
 Argentina peso (parallel)                  15.69        0.00        7.20
 (Reporting by Bruno Federowski and Claudia Violante; Writing by
Bruno Federowski; Editing by XX)
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