EMERGING MARKETS-Brazil stocks choppy, blue-chips offset rise in meatpackers
* Meatpackers gain after JBS earnings beat expectations * China outlook drives loss in commods firms * Brazil Bovespa gains 0.36 pct, Mexico IPC up 0.6 pct By Asher Levine and Danielle Assalve SAO PAULO, May 15 (Reuters) - Brazilian stocks were whipsawed on Wednesday as disappointing first-quarter results from Banco do Brasil and a drop in commodities shares countered a rise in meatpackers following encouraging earnings from industry leader JBS. Mexico's IPC index posted its steepest climb in nearly two weeks, while Chile's bourse edged higher. Brazil's benchmark Bovespa stock index opened lower, though it swung widely in late-morning trading. At 11:09 a.m. the index was up 0.36 percent to 54,865.41 points. Shares of Banco do Brasil SA fell 0.7 percent after the state-controlled lender posted worse-than-expected first quarter earnings on Wednesday, with declining revenue offsetting the effects of faster loan disbursements and a reduction in provisions for souring credit. Shares of commodities producers dropped after China Premier Li Keqiang was quoted as saying that Brazil's biggest trading partner has limited room to use government spending and policy stimulus to boost its economy. China is a key purchaser of Latin American raw materials such as soy, copper and petroleum, and the biggest customer for iron-ore mining giant Vale SA. Vale shares dropped 1.19 percent, while state-run oil company Petroleo Brasileiro SA, known as Petrobras, lost 0.8 percent. "The recent news we've been getting from China is worrying and contributes to a more adverse backdrop for the Brazilian stock market," said Daniel Cunha, an economist with XP Investimentos in Sao Paulo. Shares of JBS SA, the world's largest meatpacker, jumped 4.5 percent after the company reported a better-than-expected first-quarter profit. The news also drove slight gains in rival firms Marfrig Alimentos SA and BRF Brasil Foods SA. Mexico's IPC index rose for the fourth straight session, adding 0.6 percent to 42,176.21. Shares of lender Grupo Financiero Inbursa rose 1 percent after JPMorgan analysts raised their price target on the stock. Real-estate developer Homex edged 0.25 percent lower. The family that founded Homex, Mexico's second-biggest homebuilder, has cut its stake in the company by more than a third in a month, according to a regulatory filing on Tuesday. Chile's IPSA index rose for the second straight session, adding 0.3 percent to 4,301.92. Shares of retailer Falabella climbed 0.6 percent after the company said net profit rose 30.1 percent in the first quarter. Latin America's key stock indexes at 1409 GMT: Stock indexes daily % YTD % Latest change change MSCI LatAm 3,725.41 -0.37 -1.55 Brazil Bovespa 54,865.41 0.36 -9.99 Mexico IPC 42,176.21 0.6 -3.50 Chile IPSA 4,301.92 0.3 0.01 Chile IGPA 21,086.75 0.25 0.08 Argentina MerVal 3,528.92 0.53 23.64 Colombia IGBC 13,209.81 -0.04 -10.23 Peru IGRA 17,520.74 -0.25 -15.07 Venezuela IBC 725,716.13 0 53.94
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