January 22, 2013 / 3:10 PM / 5 years ago

EMERGING MARKETS-Brazil stocks down as Grupo Oi falls

* Bovespa hovers near 62,000 for more than a week
    * Shares of Grupo Oi plunge on CEO switch
    * Brazil's Bovespa down 0.33 pct, Mexico IPC off 0.19 pct

    By Asher Levine
    SAO PAULO, Jan 22 (Reuters) - Latin American stocks slipped
on Tuesday as low volumes and technical resistance offset
economic data from Germany that stoked optimism over global
    Brazilian shares rose early in the session after data showed
German analyst and investor morale hit the highest level in more
than 2-1/2 years in January. 
    But Brazil's benchmark Bovespa index quickly
reversed those gains, losing 0.33 percent to 61,660 after it hit
resistance just short of 62,000 points.
    "The market faces strong resistance at the yearly high of
63,470, but there is an intermediate point around 62,300 that
we've been testing since last week," said Daniel Marques, a
technical analyst with Agora Corretora in Rio de Janeiro.
    He said that Monday's holiday in the United States and an
upcoming market holiday in Brazil on Friday have kept trading
volumes lower. 
    "As soon as this passes and volume returns to normal levels,
the market will be able to break the resistance and head for a
short-term quick rally towards 63,500 points," Marques added.
    Preferred shares of Grupo Oi SA, Brazil's biggest
 fixed-line telephone company, plunged nearly 7 percent after
the company ousted Chief Executive Francisco Valim and said the
chairman of its board, Jose Mauro Carneiro da Cunha, would
replace him. 
    Shares of Cyrela Brazil Realty SA fell 1.62
percent after the company said late Monday that fourth-quarter
sales declined 29 percent from the same period a year ago.
    Mexico's IPC index fell 0.19 percent shortly after
opening, with Grupo Televisa leading losses and
down 1.1 percent. Televisa, Mexico's leading broadcaster,
announced plans on Monday to increase its sports coverage this
year and develop an English-language channel with Univision and
ABC News. 
    Chile's IPSA bourse was also down 0.24 percent. 

    Latin America's key stock indexes at 14:40 GMT:
 Stock indexes               daily  YTD %
                                 %  chang
                    Latest   chang      e
 MSCI LatAm         3,922.5  -0.19   3.49
 Brazil Bovespa     61,694.  -0.33   1.22
 Mexico IPC         45,137.  -0.19   3.28
 Chile IPSA         4,516.2  -0.24   5.00
 Chile IGPA         21,995.  -0.17   4.39
 Argentina MerVal   3,255.8   0.16  14.07
 Colombia IGBC      14,766.  -0.08   0.35
 Peru IGRA          21,744.  -0.02   5.40
 Venezuela IBC      485,179   0.17   2.91
0 : 0
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