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EMERGING MARKETS-Brazil real, Chile peso slip after weak China data

By Susan Mathew Jan 14 (Reuters) - Brazil's real dropped to its lowest in a week on Monday and the Chilean peso weakened in line with other emerging markets currencies as dismal trade data from China deepened fears of slowing global growth.

Chinese exports unexpectedly fell the most in two years in December, while imports also contracted, pointing to deteriorating global demand and further cooling of the world's second largest economy.

The Brazilian real weakened 0.4 percent to its lowest since Jan. 8 against a steady dollar. Chile's currency as well as Chilean stocks declined as prices of the country's main export copper fell after top copper consumer China's trade data disappointed.

The Mexican peso recovered some of its earlier losses when it was on course to post its worst day in two weeks.

"The trade data from China sort of refocused markets on the global macro economic situation after a week where we had quite an upswing in sentiment," said Jakob Christensen, chief analyst and head of EM research at Danske Bank.

Christensen said he was skeptical about the macro picture improving in the near term, particularly for the global manufacturing cycle.

Emerging markets, including Latin American assets, ended last week higher as signs of progress on easing the China-U.S. trade war and a cautious U.S. Federal Reserve supported risk sentiment.

Brazil's Bovespa stock index recovered from losses earlier in the session to continue on its record high path, hitting a fresh high.

State-run sanitation company Companhia de Saneamento Básico do Estado de São Paulo, or Sabesp, was a big boost to the index, up 6 percent as Sao Paulo officials discussed its privatization.

Key Latin American stock indexes and currencies at 1340 GMT: Stock indexes Latest Daily % change MSCI Emerging Markets 991.74 -0.94 MSCI LatAm 2813.03 -0.16 Brazil Bovespa 93948.58 0.31 Mexico IPC - - Chile IPSA 5344.60 -0.15 Argentina MerVal - - Colombia IGBC - - Currencies Latest Daily % change Brazil real 3.7259 -0.32 Mexico peso 19.1412 -0.05 Chile peso 676.4 -0.28 Colombia peso - - Peru sol - - Argentina peso - - (interbank) (Reporting by Susan Mathew in Bengaluru; Editing by Jeffrey Benkoe)