EMERGING MARKETS-Latam markets drop as Wall St sells off for 2nd day

Fri Apr 11, 2014 2:40pm EDT

RIO DE JANEIRO, April 11 (Reuters) - Latin American stocks
and currencies mostly dropped on Friday as a second consecutive
day of losses on Wall Street hurt investors' appetite for risk
globally.
    MSCI's benchmark index for Latin American stocks
 slid 0.15 percent with Mexico leading losses in
the region.
    Mexico's IPC index fell 1 percent to its weakest
level since the beginning of the month. Mexican and U.S. markets
usually have a larger correlation as the Mexican economy greatly
relies on the consumer market of its northern neighbor. 
    The decline also followed data showing Mexico's industrial
production rose less than forecast in February, although
economists said they expect economic activity to gain speed in
coming months. 
    Brazilian stocks outperformed their peers, however, as
investors appeared unwilling to sell after three consecutive
down sessions. The benchmark Bovespa index gained 1.35
percent in the afternoon after sliding more than 1 percent
earlier.
    "The market here remains resilient," said Luis Gustavo
Pereira, an analyst with Guide Investimentos in Brazil, adding
that foreign investors continued to buy domestic stocks.
    During the first nine days of April, foreign investors
purchased a net 1.9 billion reais ($860 million) worth of
Brazilian shares, according to data from Brazil's BM&FBovespa
exchange.
    Brazil's real  was little changed as investors'
aversion to risk was offset by the central bank's continuous
intervention in the foreign exchange market.
    Besides offering its daily allotment of currency swaps,
derivatives designed to support the real, the central bank has
been rolling over some $8.7 billion worth of swaps expiring
early next month.
    Chile's peso dropped about 1 percent as local players
demanded dollars to settle expiring forward contracts. 

    
     
    Key Latin American stock indexes and currencies at 1825 GMT:
     Stock indexes                    daily %     YTD %
                         Latest       change      change
 MSCI Emerging Markets  1014.07       -0.75       1.9
                                                  
 MSCI LatAm             3271.29       -0.14       2.35
                                                  
 Brazil Bovespa         51819.85      1.35        0.61
                                                  
 Mexico IPC             40052         -0.98       -6.26
                                                  
 Chile IPSA             3857.44       0.09        4.28
                                                  
 Chile IGPA             18891.67      0.08        3.65
                                                  
 Argentina MerVal       6439.28       -0.9        19.44
                                                  
 Colombia IGBC          13784.33      -0.21       5.46
                                                  
 Peru IGRA              14744.88      -0.11       -6.40
                                                  
 Venezuela IBC          2504.8        -0.6        -8.47
                                                  
                                                  
 Currencies                           daily %     YTD %
                                      change      change
                        Latest                    
 Brazil real            2.2128        -0.47       6.51
                                                  
 Mexico peso            13.0463       0.15        -0.12
                                                  
 Chile peso             549           -0.93       -4.17
                                                  
 Colombia peso          1927.33       -0.51       0.24
                                                  
 Peru sol               2.782         -0.04       0.40
                                                  
 Argentina peso         8.0000        0.03        -18.84
 (interbank)                                      
                                                  
 Argentina peso         10.37         0.00        -3.57
 (parallel)                                       
                                                  
 
 (Reporting by Walter Brandimarte and Priscila Jordao; Editing
by Tom Brown)