|Day's Range||38,156.95 - 39,015.46|
|52 Week Range||21,738.62 - 48,988.82|
Argentina's stocks are rocketing, outpacing equity market peers around the world in the second quarter as growing risk appetite has lured investors to the country's listed firms despite biting economic and debt crises. When translated to U.S. dollars using the official exchange rate, they are now up 64%, the most among the largest stock markets globally. Investors jumped in even as Argentina's government has scrambled to restructure around $65 billion in foreign debt and forecasts called for the economy, mired in recession since 2018, to contract as much as 10% this year.
Latin America is poised for growth after years of under performance, Luiz Ribeiro, manager of the Latin America Equity Fund at asset manager DWS Group, said on Tuesday, forecasting regional growth would rebound in 2020 to near 2%. Ribeiro, who oversees $630 million in assets, told the Reuters Global Markets Forum that Chile was still an attractive investment and that its government had comfortable room to respond to recent unrest by spending more. Ribeiro said Brazil was his top investment pick, however, due to factors including hopes that tax reform would kick in and spur gains among domestic focused equities.
Latin America is poised for growth after years of under performance, Luiz Ribeiro, manager of the Latin America Equities fund at asset manager DWS Group, said on Tuesday, forecasting regional growth would rebound in 2020 to near 2%. Ribeiro, who oversees $310 million in assets, told the Reuters Global Markets Forum that Chile was still an attractive investment and that its government had comfortable room to respond to recent unrest by spending more.
* Brazil real surges after better-than-expected GDP * Traders cautious after Trump says no trade deal deadline * EM currencies due for recovery - analyst By Ambar Warrick Dec 3 (Reuters) - Most Latin American stock markets traded in a tight range on Tuesday, while currencies strengthened against a weak dollar, as comments by U.S. President Donald Trump sparked fears of a delay in the resolution to the Sino-U.S. trade war. Global equities dropped after Trump said a trade deal with China might be delayed until after the November 2020 U.S. presidential election. Investors had earlier expected an interim trade deal between Washington and Beijing by mid-November, but the prospect of a delayed conclusion now opens the door for further escalation in tensions that have dogged risk assets for more than a year.
* Trump to restore tariffs on imports from Brazil, Argentina * Brazil stocks rise 1% after strong manufacturing data * Chilean peso firms as central bank intervention kicks in By Ambar Warrick Dec 2 (Reuters) - Brazil's real firmed on Monday as a spot auction by the central bank supported the currency following a tweet by U.S. President Donald Trump that said he was restoring tariffs on metal imports from Brazil and Argentina. Without going into details, Trump said he would restore tariffs on U.S. steel and aluminum imports, surprising officials in the two South American countries and prompting them to seek explanations.
* Chile's peso sees second best day in 10 years on intervention * Brazil's real slides 1%, intervention's effect wanes By Aaron Saldanha Nov 29 (Reuters) - Chile's peso starred among Latin American currencies on Friday, bouncing off an all-time closing low on news of a chunky central bank intervention program, which set it on course for its second best day in more than a decade. The country's central bank late on Thursday said it would sell up to $20 billion in foreign currency interventions starting on Monday aiming to stabilize the peso, which prompted some short-sellers to scale back bets on further weakness. "Chile has around $40 billion in reserves," said Guido Chamorro, a portfolio manager for Pictet Asset Management in London.
* Chilean peso at new low as violence resurges * Brazil's real falls for fourth straight day * Dollar lifted by better-than-expected U.S. data (Updates prices; adds quote, details) By Medha Singh Nov 27 (Reuters) - Most Latin American currencies took a hit on Wednesday, as the dollar firmed on upbeat U.S. economic data, while currencies in Chile and Colombia dropped further on growing anti-government protests in those countries. The Colombian peso declined 0.8%, down for the fourth day, as a week of demonstrations against rumored government economic plans, corruption and police violence rolled on. Colombian stocks shed 1.4% as the unrest in the country dimmed risk appetite.
* Brazil's real slips after current account gap widens * Mexican peso eases after weak GDP data * Chilean peso breaks 5-day losing streak * U.S.-China trade rhetoric improves (Updates prices; adds quotes) By Medha Singh Nov 25 (Reuters) - Brazil's real weakened on Monday after data showed the current account deficit in Latin America's largest economy widened in October, while a report showing the Mexican economy was in a mild recession in the first half of 2019 pressured the peso. The slipped against a firmer dollar as central bank data indicated the current account deficit widened more than expected, to $7.9 billion as the trade surplus shrank. "The number was a little bit of a surprise," said Luiz Ribeiro, head of Latin American equities at DWS Group.
* U.S.-China trade deal "potentially very close" - Trump * Latam FX drops against a strong dollar * Trade deal hopes bolster stocks (Updates prices; adds quote, news items) By Medha Singh Nov 22 (Reuters) - Latin American stocks advanced on Friday as positive comments from Washington and Beijing eased investor concerns at the end of a week mired by conflicting headlines on a trade deal. U.S. President Donald Trump said a trade deal with China is "potentially very close", adding to earlier optimism after Beijing had said it wanted to work out an initial agreement with Washington. MSCI's index of Latin American stocks rose 0.6%, set to wrap up a week marked by conflicting messages surround a trade deal, marginally higher.
* Brazilian real, Mexican peso rise slightly * U.S.-China trade deal "potentially very close" - Trump By Shreyashi Sanyal and Sagarika Jaisinghani Nov 22 (Reuters) - Latin American assets edged higher on Friday as investors turned optimistic about a U.S.-China trade truce after U.S. President Donald Trump said a deal was "potentially very close", while Brazil's real firmed on hopes of more monetary stimulus. An index of Latin American currencies gained 0.6%, while a basket tracking the region's stocks firmed 1%. The Brazilian real rose 0.4% as the country's inflation fell to the second-lowest level in more than two decades, a figure likely to give the central bank extra cover to reduce interest rates again next month.
* China says will strive to reach trade agreement * Sino-U.S. trade deal could slide into 2020 - report * Brazil real, Colombian peso trading flat * Mexican peso gains on higher oil prices By Sagarika Jaisinghani and Agamoni Ghosh Nov 21 (Reuters) - Latin American currencies were little changed on Thursday as conflicting news on trade and a diplomatic row between the United States and China kept investors away from riskier assets, while Brazil stocks were lifted by upbeat corporate reports. The Brazilian real was trading flat, while the Peruvian Sol and Colombian peso firmed just 0.2% against a slightly weaker dollar.
* Trade deal may not be completed this year - sources * U.S. bill on Hong Kong human rights angers China * Mexican peso hits 6-week low (Updates prices; adds details, quote) By Medha Singh Nov 20 (Reuters) - Latin American assets moved lower on Wednesday as investors fled risky bets after a report that an initial trade deal between United States and China may not be completed this year. The tariff-sensitive Mexican peso hit its weakest level in six weeks against a steady dollar.
* U.S. bill on Hong Kong human rights angers China * Trump threatens to raise tariffs on Chinese imports * Chile peso slides again as protests rage on * Mexican peso, Colombian peso ease By Sagarika Jaisinghani Nov 20 (Reuters) - Latin American currencies eased on Wednesday as concerns about flaring U.S.-China trade tensions kept investors from buying into riskier assets, while the Chilean peso extended losses for the third day in a row as anti-government protests showed no signs of letting up. Global stocks retreated from 22-month highs and the dollar edged higher as a U.S. bill meant to protect human rights in Hong Kong amid pro-democracy protests angered China, adding to jitters from a threat by U.S. President Donald Trump to raise tariffs on Chinese imports if a deal was not reached soon.
* Mexican central bank cuts interest rates by 25 bps * Chile peso hits new low as unrest continues * Latam stocks pulled higher on gains from Bovespa (Updates prices, adds Mexico central bank decision, comment) By Medha Singh Nov 14 (Reuters) - The Mexican peso reversed course on Thursday to trade higher after Mexico's central bank lowered borrowing costs for the third time this year, while Chile's peso hit fresh record lows despite intervention by its central bank. A divided Banxico cut interest rates by 25 basis points to 7.50%, in line with the consensus forecast of a Reuters poll of analysts published earlier this week, but flagged growth risks for Mexico, Latin America's second largest economy.
* Chile's peso, stocks slide as unrest continues * Chile central bank expected to slash rates -poll * Trump speech feeds worries about global trade * Eletrobras dips after announcing job cuts By Sagarika Jaisinghani Nov 13 (Reuters) - Chile's peso slid for the fifth straight session on Wednesday and the country's stocks tumbled more than 2%, as anti-government unrest showed no signs of letting up and as traders predicted that the central bank would slash interest rates. Most other Latin American currencies eased as a speech by U.S. President Donald Trump had investors fretting anew about Washington's trade war with Beijing.
* Bolivian President Evo Morales steps down * Colombian markets closed for a local holiday * Stocks fall on U.S.-China trade deal uncertainty (Updates prices, adds market details) By Medha Singh Nov 11 (Reuters) - Chilean assets tumbled on Monday to lead Latin American markets lower as the country braces for a constitutional makeover after weeks of political unrest, while uncertainty over a U.S.-China trade deal kept investors away from riskier assets. Chile's peso weakened 1.5% to hit its lowest point since March 2003, adding to a more than 6% loss in the last three weeks. The Chilean government agreed to write a new constitution, bowing to one aspect of demands made by protesters who have called for an end to social injustices and inequality in demonstrations that often turned violent.
Brazil's real rose 0.3% to just below 4 per dollar. The currency was on track to post a second straight week of gains, boosted by optimism over the Brazilian Senate's final approval of a pension reform bill and the central bank hinting at a pause on further interest rate cuts. "Progress on the reform agenda should continue removing risk premium from Brazilian assets," Claudio Irigoyen at Bank of America Merrill Lynch wrote in a client note.
The real touched its highest level since mid-August earlier in the session, supported by a less-dovish sounding central bank, which cut the benchmark interest rate to an all-time low of 5.00% as expected on Wednesday. The weakness in emerging markets came even as the dollar fell broadly against a basket of major currencies after the U.S. Federal Reserve cut interest rates as expected on Wednesday and signaled additional trims are unlikely.
Chile's peso, down 0.5%, led declines among the regional currencies as President Sebastian Pinera faced new protests after he replaced eight cabinet members including his interior and finance ministers to tame the biggest political crisis since Chile's return to democracy in 1990. The Mexican peso and the Argentine peso held steady, while the Brazilian real edged lower. Traders have priced in a quarter-percentage point rate cut from the Fed after its two-day meeting on Wednesday, which would make it the U.S. central bank's third rate cut this year.
The peso closed up 0.65% at 59.6 per dollar, with the central bank clamping down on dollar purchases after center-left Alberto Fernandez clenched victory over incumbent Mauricio Macri in the presidential election. Argentina's black market peso closed 2.03% stronger after hitting a record low of 77 per U.S. dollar earlier, while the Merval stock index and dollar bonds slid as investors fretted about the consequences for the national economy and debt burden. Financial markets in Latin America's No. 3 economy have crashed since presidential primaries in August pointed to victory for Fernandez, raising fears of a return to populism in a country facing the risk of a deep economic crisis and debt default.
Adding to overall optimism, the U.S. Trade Representative's office said U.S. and Chinese trade officials were "close to finalizing" some parts of an agreement.
The Mexican peso, vulnerable to trade risks due to its reliance on U.S. economy, jumped 0.7% to 19.31 per dollar, while the Chilean and the Colombian pesos rallied about 0.8%, getting extra boost from a rally in metal and oil prices. The rally came as U.S. President Donald Trump said U.S.-China trade talks were going well as the second day of top-level negotiations got under way. Investors are hoping the two sides will agree to a deal that could avert further retaliatory measures, while expectations of a last-minute Brexit deal between the European Union and Britain as well as approval of a North American trade deal all added to the optimism.
Brazil's Bovespa jumped 0.8%, while an index of emerging market stocks rose 0.5% after U.S. President Donald Trump confirmed he would meet Chinese Vice Premier Liu He on Friday for further trade talks. Washington has threatened further tariffs on $250 billion worth of Chinese goods on Oct. 15. "It needs to be seen if this initiative allows China and the U.S. to reach an agreement allowing a postponement of further tariffs or even a reduction of already implemented tariffs," Morgan Stanley analysts wrote in a note.
MSCI's index of Latin American currencies fell 0.4% with Brazil's real hovering at two-week lows. The real was on course to lose nearly 2%, in part after Brazil's central bank cut its interest rate to a record low on Wednesday and signaled room for further easing. Currencies in the region have been hit by geopolitical worries this week following attacks on Saudi Arabia's key oil facilities, while the U.S. Federal Reserve's mixed signals about further interest rate cuts dampened the appetite for risky assets.
With the U.S. dollar broadly strengthening after the release of the Fed's policy statement, the Brazilian real led losses among the regional currencies with a 0.7% decline ahead of a rate decision from Brazil's central bank. New projections also showed policymakers at the median expected rates to stay within the new range through 2020, driving investors to cut bets on further U.S. rate cuts.