EMERGING MARKETS-Latam stocks rise on regional economy hopes

* U.S. indexes pare losses after early slide

* Commodities stocks help Latin American indexes

* Bovespa index gains 1.59 pct, Mexico’s IPC up 0.27 pct

SAO PAULO, Brazil, July 20 (Reuters) - Latin American stocks rose in afternoon trading on Tuesday, as investors remained optimistic about regional economies despite corporate earnings abroad that pointed to a slow global recovery.

The MSCI Latin American stocks index .MILA00000PUS rose 2.14 percent, adding to gains on Monday.

“Volatility persists, but we’re seeing gains because the outlook for the second half of the year is still pretty positive for most investors,” said Andre Perfeito, an economist with Gradual Investimentos in Sao Paulo.

Estimates for regional growth remain high this year, even as many developed economies continue to struggle.

The International Monetary Fund said last week that Latin America’s economy could grow by as much as 5 percent this year, more strongly than previously expected. [ID:nN16129288]

Brazilian economists in a weekly central bank survey on Monday saw Latin America’s biggest economy expanding 7.2 percent in 2010. [ID:nN19184600]

Key indexes in the United States, the world’s largest economy and a major influence on Latin America, had fallen earlier in the day as earnings from several companies disappointed investors.

But Wall Street pared losses in the afternoon, helped by gains in shares of Goldman Sachs GS.N and in the energy and materials sectors. [ID:nN20269037]

Mining stocks also boosted Brazil's Bovespa index, with shares of Vale VALE5.SA, the world's largest producer of iron ore, jumping 5.32 percent.

Also advancing in Brazil were shares of Embraer EMBR3.SA, the world's third-largest aircraft maker, which climbed 3.02 percent. British airline Flybe on Tuesday said it struck a deal with Embraer to buy 35 aircraft worth $1.3 billion, as it drives expansion in continental Europe. [ID:nLDE66J0FZ]

Brazil's Bovespa stock index .BVSP rose 1.59 percent to 64,304.05.

In Mexico, shares of leading retailer Walmex WALMEXV.MX rose 1.14 percent. After the close of markets on Monday Walmex reported second-quarter net profit jumped 24 percent as sales received a lift from its recently acquired Central American operations and the World Cup. [ID:nN19214645]

Wireless telecom giant America Movil AMXL.MX advanced 0.22 percent. The company is to report second-quarter results on Thursday, and analysts expect a 17 percent dip in net profit as foreign exchange losses offset healthy additions of new clients. [ID:nN20204879]

Mexico's IPC index .MXX added 0.27 percent to 31,932.37.

Chile's blue chip IPSA index .IPSA gained 0.56 percent and reached a new life high. Retailer Falabella FAL.SN climbed 1.86 percent.

Shares of Chile's top airline, LAN LAN.SN, rose 1.82 percent. The company said on Tuesday it has ordered 50 Airbus A320 planes with a list price of around $4.15 billion as it seeks to expand operations in Latin America. [ID:nN20251076] (Reporting by Luciana Lopez, Guillermo Parra-Bernal and James Matthews; Editing by Leslie Adler)