Brazil's stocks are likely to rebound in 2022 from this year's steep decline, as investors hunt for bargains but stay on the alert to an uncertain political situation in the run-up to the country's presidential vote, a Reuters poll showed. The Bovespa stock index is down 13.7% year-to-date, headed toward the deepest annual slide since 2013, when Brazil was descending into a serious domestic crisis. The Bovespa is trading at 102,741 points, close to its lowest level in 12 months.
Mexico's peso led gains across the region, to rise 0.7% against a weakening greenback. The peso extended gains from the previous session, but slowing economic growth and rising inflation amid fears surrounding the spread of the coronavirus pushed the currency 4.2% lower for the month. Sliding commodity prices also did little to pressure Latin American currencies, with the Chilean peso gaining 0.3% despite falling copper prices and Colombia's peso adding 0.6% against tumbling oil prices.
All major indices were firmly in the red, with India shares ending down almost 3%, while Polish and Brazilian stocks were on track to lose by the same measure. A variant that scientists say could be vaccine-resistant and more transmissible was detected in Botswana, Hong Kong and South Africa. Several countries in Europe and Asia tightened travel restrictions, with Britain, for example, banning flights from South Africa and some neighboring countries.