EMERGING MARKETS-Brazil stocks rise on global growth optimism

Mon Jan 14, 2013 5:42pm EST

Related Topics

* Fed's Evans boosts outlook for U.S. economic growth
    * OECD says global economy improving
    * Brazil Bovespa rises 0.95 pct, Mexico IPC flat

    By Asher Levine
    SAO PAULO, Jan 14 (Reuters) - Brazilian stocks tracked
global markets higher on Monday as an improving outlook for
world economic growth fed demand for riskier assets.
    Mexico's IPC index was near flat, while Chile's
bourse added 0.37 percent.
    Investors' appetite for risk increased after the
Organization for Economic Cooperation and Development said on
Monday the growth outlook for most industrialized countries is
improving and the economy of Brazil's top trading partner, 
China, has reached a positive turning point. 
    Chicago Federal Reserve chief Charles Evans added to
positive investor sentiment after he said on Monday he saw the
U.S. economy, the world's largest, picking up speed through
2014. 
    Brazil's benchmark Bovespa stock index rebounded
from its worst weekly loss in nearly two months, adding 0.95
percent to 62,080.79 points.
    Still, analysts warned that gains are likely to be
short-lived as profit-takers await opportunities to lock in
gains.
    "We're seeing a short-term bump," said Ariovaldo Santos, an
equities manager with H.Commcor in Sao Paulo. "The market may be
up compared to Friday, but if you look at a slightly longer
period, prices are still a bit depressed."
    OGX Petroleo e Gas SA shares rose 3.68 percent,
contributing most to the index's gains.
    The high share liquidity of Brazilian oil producers tends to
attract foreign investors looking for exposure to Latin American
equities, with their performance often tracking global risk
appetite.  
    The shares of Embraer SA, the world's largest
maker of regional jets, rose 2.74 percent after the company
announced an order for 20 new planes on Monday. 
    Mexico's IPC index fell slightly to close at
44,862.92 points. Lender Grupo Financiero Banorte 
rose 1.83 percent, driving gains. 
    Chile's IPSA index gained 0.37 percent to 4,455.03,
with industrial conglomerate Copec rising 1.14 percent.
    Still, a technical indicator known as the relative strength
index remained in "overbought" territory, indicating stocks
might fall further in coming sessions.
         
    Latin America's key stock indexes at 2214 GMT:
    
 Stock indexes                                    % change
                              Latest              
                                                          
 MSCI LatAm                          3,930.27         0.56
                                                  
 Brazil Bovespa                     62,080.79         0.95
                                                  
 Mexico IPC                         44,862.92        -0.06
                                                  
 Chile IPSA                          4,455.03         0.37
                                                  
 Chile IGPA                         21,744.43         0.31
                                                  
 Argentina MerVal                    3,095.40        -0.39
                                                  
 Colombia IGBC                      14,756.74         0.18
                                                  
 Peru IGRA                          21,870.35        -0.16
                                                  
 Venezuela IBC                     473,704.28        -0.04
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