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EMERGING MARKETS-Brazil stocks pause for breath after record-high run; Latam assets subdued

By Ambar Warrick

* Brazil stocks down after four sessions of record highs * Brazil central bank cut largely expected on Wednesday * Chilean peso down as poll sees Q4 GDP contraction By Ambar Warrick Dec 10 (Reuters) - Brazilian stocks dipped on Tuesday while broader Latin American assets were subdued following a report of a possible delay to further U.S. tariff action on China. A Wall Street Journal report said that U.S. and Chinese trade negotiators were discussing a delay on a round of tariffs set to kick in on Dec. 15. Anticipation of the tariffs has kept global equities in tight ranges this week, as investors fear an interim trade deal between Washington and Beijing would not be met before the deadline. Brazilian stocks ticked lower after marking a new record high over the past four sessions, while the MSCI's indexes of Latin American stocks and currencies were largely flat. Brazil's central bank will lower its key interest rate to a new low on Wednesday, according to the unanimous view of economists in a Reuters poll, although recent strength in Latin America's largest economy suggests that it may be the last cut in the cycle. The real was weaker against the dollar. Chilean stocks inched up, while the peso weakened after strengthening to the dollar for about five days. Chile's economy is expected to shrink by 2.5% in the last quarter of 2019, according to a monthly poll of analysts, the latest of several dire predictions following weeks of protests. The Mexican peso was largely flat ahead of the signing of a United States-Mexico-Canada Agreement over labor, steel and aluminum. Argentine stocks rose, while the peso was flat as the new Peronist leader Alberto Fernandez assumed the presidency. Latin American stock indexes and currencies at 0242 GMT Stock indexes Latest Daily % change MSCI Emerging Markets 1049.26 -0.18 MSCI LatAm 2743.78 -0.11 Brazil Bovespa 110708.14 -0.24 Mexico IPC - - Chile IPSA 4767.23 0.4 Argentina MerVal 36578.84 0.466 Colombia COLCAP 1610.30 0.31 Currencies Latest Daily % change Brazil real 4.1445 -0.39 Mexico peso 19.2539 -0.13 Chile peso 778.2 -0.39 Colombia peso 3423.78 -0.31 Peru sol 3.3848 -0.32 Argentina peso 59.9500 0.00 (interbank) (Reporting by Ambar Warrick in Bengaluru; editing by Grant McCool)