EMERGING MARKETS-Brazil stocks drop as oil producer OGX weighs
* Brazil Bovespa falls 0.84 pct, Mexico IPC down 0.12 pct
SAO PAULO Oct 30 (Reuters) - Brazil's benchmark Bovespa stock index fell for the second session in a row on Wednesday, with investors dumping shares of heavily weighted oil producer OGX on expectations the company could file for bankruptcy by the end of the day.
Mexico's IPC index snapped a three-day rally, while Chile's bourse was little-changed.
Brazil's Bovespa index posted its fifth drop in six sessions, losing 0.84 percent to 54,079.10 points.
Shares of OGX Petroleo e Gas Participacoes SA plunged 26 percent to 0.17 reais, their lowest on record. Most investors expect the cash-strapped company to file for bankruptcy protection at any moment, after debt restructuring talks with bond holders ended with no agreement.
OGX has declined to comment further on the end of the debt talks or a potential bankruptcy protection filing.
State-run oil firm Petroleo Brasileiro SA, known as Petrobras, dropped 1.7 percent.
The company on Wednesday offered details of a new pricing formula first announced late on Friday. The plan would help close a gap between local and international fuel prices that has hurt the company in recent years. The stock had jumped 7.5 percent on Monday.
"There are concerns that the plan could face hurdles in being approved by the government," said Luiz Roberto Monteiro, a trader with brokerage Renascenca in Sao Paulo. "We are also seeing people continuing to take profits after Monday's gains."
Preferred shares of Usiminas, Brazil's largest maker of steel products for carmakers, rose nearly 4 percent after the company posted its first quarterly profit in seven.
Mexico's IPC index edged lower, dropping 0.12 percent to 41,233.70 points. Telecommunications firm America Movil , controlled by billionaire Carlos Slim, lost 0.5 percent, while bottling group Femsa fell 0.6 percent.
Chile's IPSA index was nearly unchanged from Tuesday's close, as a 1.1 percent rise in shares of energy firm Enersis helped offset a 1.5 percent drop in lender BCI .