* Brazil Bovespa down 0.24 pct, Mexico IPC gains 0.66 pct SAO PAULO, Dec 20 (Reuters) - Brazilian stocks dipped on Friday as investors sold shares of the most widely traded commodities firms the day after the Bovespa index closed at its highest level in over two weeks.
Mexico's IPC index rallied for a third straight day, while Chile's bourse was little-changed.
The benchmark Bovespa index had jumped 2.1 percent on Thursday after the Fed's decision to begin tapering its monetary stimulus program removed a question mark that had been hanging over the market while signaling a stronger U.S. economic recovery.
The Bovespa returned some of those gains on Friday, losing 0.24 percent to 51,508.19 as shares of heavily-weighted mining firm Vale SA slipped 0.7 percent.
"We are just having a normal reset today after a day of big gains," said Luiz Roberto Monteiro, a trader with brokerage Renascenca in Sao Paulo.
Monteiro said the corporate landscape would be unlikely to offer much news in coming days as year-end holidays begin, leading most investors to look toward macroeconomic data for market signals.
Shares of Brazil's state-run oil company Petroleo Brasileiro SA, known as Petrobras, fell 1.6 percent. The firm declared three offshore oil fields commercially viable on Thursday, though investors remained cautious on the company.
"The problem is the company's cash position, its high debt levels," wrote XP Investimentos analysts in an investor note, adding that a recent refinery fire would increase the company's need for costly refined fuel imports.
Mexico's IPC index rose 0.66 percent to 42,474.87, on-track for its highest close in a week.
Data on Friday showed Mexico's seasonally adjusted jobless rate fell in November to a five year low, raising hopes for a rebound in consumption in Latin America's No. 2 economy.
Shares of telecommunications firm America Movil, controlled by billionaire Carlos Slim, advanced 0.7 percent, contributing most to the index's gains, while lender Grupo Financiero Banorte climbed 0.8 percent.
Chile's IPSA index was little changed at 3,679.57 points. The index has remained range bound between 3,650 points and 3,750 points for over two weeks.
Shares of retailer Cencosud fell 3 percent, offsetting a 1.5 percent gain by rival Falabella.
Latin America's key stock indexes at 1433 GMT: Stock indexes Latest daily % YTD % change change MSCI LatAm 3,171.43 -0.58 -16 Brazil Bovespa 51,508.19 -0.24 -15.49 Mexico IPC 42,474.87 0.66 -2.82 Chile IPSA 3,679.57 -0.01 -14.46 Chile IGPA 18,107.56 -0.02 -14.06 Argentina MerVal 5,347.92 -0.16 87.36 Colombia IGBC 13,045.67 0.19 -11.35 Peru IGRA 15,588.42 0.09 -24.44 Venezuela IBC 2,706,578.59 0.01 474.11