MEXICO CITY Jan 9 Brazilian stocks plunged on
Thursday in their biggest one-day decline since September,
dragged down by a slower-than-expected increase in Chinese
consumer prices, with investors cautious a day ahead of U.S
Brazil's Bovespa slipped 2.48 percent to 49,321.68
points, taking the index to its lowest level since August. The
Bovespa, which was one of the world's worst-performing indexes
in 2013, is already down more than 4 percent this year.
China's annual consumer inflation slowed more sharply than
expected and hit a seven-month low of 2.5 percent in December,
data released on Thursday showed. Brazil is China's main source
of iron ore.
Shares of mining company Vale SA led the index
down with a decline of 3.7 percent. State oil producer Petrobras
lost 3.03 percent, while bank Itau Unibanco
dropped 3.12 percent.
Across the region, investors showed caution ahead of the
release of monthly U.S payroll data on Friday. Any positive news
could lead to declines in regional markets as it would raise the
chances of the U.S. Federal Reserve further cutting its massive
The asset-purchase program had driven interest in emerging
market equities as investors sought higher returns from riskier
asset classes, and cuts to the program are seen as denting local
* In Brazil, shares of food processor BRF SA, the
world's largest poultry producer, dropped 2.83 percent after
Citigroup Global Markets Inc trimmed the price target for its
U.S.-traded shares to $25 from $29 on lower earnings
estimates for this year.
* Shares of América Latina Logística SA, Brazil's
largest rail operator, jumped 8.8 percent after local newspaper
Valor Economico reported the company was considering resuming
merger talks with logistics operator Rumo Logistica.
* Shares of Braskem SA, Latin America's largest
petrochemical company, added 0.25 percent after it sold a water
treatment plant in the southern state of Rio Grande do Sul to
* Chile's IPSA index fell 1.21 percent to 3,645.12 points,
thanks to a 3.78 percent decline in shares of bank Santander
* Mexico's IPC index added 0.17 percent to close at
41,585.54 points, due to a 3.32 percent rise in shares of cement