EMERGING MARKETS-Latin American currencies weaken; China and Fed weigh
SAO PAULO, Nov 21 (Reuters) - Latin American currencies weakened on Thursday, led lower by the Brazilian real, hurt by signs of weaker Chinese manufacturing and expectations that the U.S. Federal Reserve could cut back stimulus in coming months. Halting recoveries in European countries dragged demand for China's manufactured goods to a three-month low in November, business surveys showed on Thursday. China is a principal destination for Latin American exports, driving the strength of the region's currencies. Reactions to U.S. Fed minutes also continued to weigh on investors' appetite for emerging-market currencies, especially in Sao Paulo where a holiday limited trading a day earlier. Minutes from the Fed's last meeting released on Wednesday said the central bank could begin at one of its next few meetings to scale back a bond-buying program that has increased investor appetite for riskier assets and weakened the dollar. * Brazil's real weakened 1.71 percent to 2.308 per dollar, its biggest retreat in over two weeks, after little change in thin holiday trading on Wednesday. * Brazilian policymakers have been regularly selling currency swaps to provide investors with protection against a possible depreciation of the real. On Thursday, they sold 10,000 swaps as part of their daily intervention program. * Mexico's peso lost 0.23 percent to 13.1275 per dollar, at its weakest levels in a week. Latin American currencies at 1301 GMT: Currencies daily % YTD % change change Latest Brazil real 2.3080 -1.71 -11.61 Mexico peso 13.1275 -0.23 -2.01 Chile peso 522.5000 -0.06 -8.38 Colombia peso 1934.0000 -0.31 -8.69 Peru sol 2.7960 0.18 -8.76 Argentina peso (interbank) 6.0450 -0.12 -18.73 Argentina peso (parallel) 9.8900 0.30 -31.45
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