EMERGING MARKETS-Brazil stocks rise on TIM deal speculation; Mexico, Chile fall

Wed Oct 9, 2013 7:53pm EDT

MEXICO CITY, Oct 9 (Reuters) - Brazilian stocks rose on
Wednesday, lifted by shares in Brazil's TIM Participações
 which rose on reports that Telecom Italia 
is considering selling its controlling stake in the Brazilian
company.
    Shares in Brazil's second-largest wireless phone company
jumped 6.7 percent. Telecom Italia holds a 67 percent stake in
the company. The deal would aim to raise at least $12 billion,
according to the reports. 
    Despite ongoing concerns over negotiations surrounding the
U.S. debt ceiling, Latin American stocks were initially boosted
by news that U.S. President Barack Obama will nominate Janet
Yellen to run the Federal Reserve. 
    The U.S. Treasury is expected to exhaust its borrowing
capacity by Oct. 17, when it will have only about $30 billion
left in cash to honor its obligations.
    While many investors expect U.S. lawmakers to reach a
last-minute agreement to lift the country's debt ceiling, others
preferred to be on the sidelines while the U.S. political
scenario remains unclear.
    Concerns about an eventual tapering of the Fed's stimulus
program, coupled with weak economic growth in Brazil, are
expected to drive the Bovespa index to close 2013 at its lowest
level since the 2008 financial crisis, a Reuters poll showed on
Wednesday. 
    Mexico's IPC stock index was down 0.13 percent, led lower by
a 1.15 percent decline in shares of broadcaster Televisa
, while Chile's IPSA index fell 0.87 percent
thanks to a 1.78 percent decline in shares of energy company
Empresas Copec. 
  
    Latin America's key stock indexes at 2306 GMT:
    
 Stock indexes                             daily %  year-to-da
                        Latest              change        te %
                                                        change
 MSCI LatAm                   3,321.76       -0.26      -12.53
                                                    
 Brazil Bovespa              52,547.71        0.45      -13.79
                                                    
 Mexico IPC                  39,866.17       -0.13       -8.79
                                                    
 Chile IPSA                   3,776.53       -0.87      -12.20
                                                    
 Chile IGPA                  18,629.96       -0.71      -11.58
                                                    
 Argentina MerVal             4,946.42        0.42       73.30
                                                    
 Colombia IGBC               14,098.55       -0.25       11.31
                                                    
 Peru IGRA                   15,512.25       -0.25      -24.80
                                                    
 Venezuela IBC            1,768,297.13         1.7      275.09
Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.