EMERGING MARKETS-Brazil stocks drop as blue-chips offset gain in OGX
* OGX shares soar on talk of stake sale * Petrobras, banks decline * Brazil Bovespa falls 0.87 pct, Mexico IPC up 0.14 pct By Asher Levine SAO PAULO, April 22 (Reuters) - Brazilian stocks fell on Monday as investors sold off shares of banks and energy giant Petrobras to take advantage of recent gains, while shares of troubled oil firm OGX soared on reports of a stake sale. Mexico's IPC index and Chile's bourse both edged higher. Brazil's benchmark Bovespa stock index capped two days of gains, losing 0.87 percent to 53,458.97. The index has faced technical resistance near 54,000 points for nearly a week. Shares of state-run oil company Petroleo Brasileiro SA , known as Petrobras, fell 1 percent, contributing most to the index's decline, after having risen 7.6 percent over the previous two sessions. Itaú Unibanco Holding SA, Brazil's largest non-government bank, dropped 1.5 percent following a 2.2 percent gain on Friday. "We had a strong end to the week and the foreign markets are falling," said Alvaro Bandeira, a partner at Orama Investimentos in Rio de Janeiro. "It's become a short-term market, it rises one day and falls the next...the Brazilian market is suffering in terms of investment flows and the lack of long-term investors." Shares of OGX Petroleo e Gas Participações SA, the oil company controlled by Brazilian billionaire Eike Batista, soared nearly 20 percent in early trading, before settling near a 12.5 percent gain shortly before noon. Brazil's Folha de S.Paulo newspaper said on Sunday that negotiations were at an advanced stage for Russia's second-largest crude producer Lukoil to take a stake in the company, in a deal that would also involve Malaysia's Petronas. OGX shares have plunged over 65 percent this year on concerns over missed production targets and the potential need for more capital. OGX said in a brief statement that the newspaper report on the rescue plan was not accurate. "You have a lot of people who are short on the shares, so when a piece of news like that comes out, they exit their positions, which ends up boosting the shares quite a bit," Bandeira said. Kroton Educacional SA, Brazil's largest provider of undergraduate distance learning, rose 7 percent after the company announced plans on Monday to take over rival Anhanguera Educacional Participações SA in an all-stock deal. Mexico's IPC index rose 0.14 percent to 42,866.54, as shares of telecommunications firm America Movil, controlled by billionaire Carlos Slim, added 1.85 percent. Chile's IPSA index rose for the third straight session, adding 0.14 percent to 4,311.97 as shares of retailer Falabella advanced 0.59 percent. Latin America's key stock indexes at 1440 GMT: Stock indexes daily % YTD % Latest change change MSCI LatAm 3,661.58 -1.07 -2.54 Brazil Bovespa 53,458.97 -0.87 -12.29 Mexico IPC 42,866.54 0.14 -1.92 Chile IPSA 4,311.97 0.14 0.25 Chile IGPA 21,145.72 0.15 0.36 Argentina MerVal 3,433.44 -0.32 20.29 Colombia IGBC 13,322.33 0.05 -9.47 Peru IGRA 17,916.16 0.06 -13.15 Venezuela IBC 643,978.00 0 36.60
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