By Bruno Federowski
SAO PAULO, Dec 8 Brazil's Bovespa stock index
fell on Thursday, after two sessions of gains, while Mexican
stocks rose 1.65 percent, as investors snapped up shares that
had become attractively cheap after weeks of poor performance.
Brazilian markets opened higher after the country's Supreme
Court overturned an injunction ordering the indicted head of the
Senate, Renan Calheiros, to step down, voting to allow him to
continue in the post but not in the presidential line of
Calheiros' potential ouster had stoked concern about
possible delays in the approval of austerity measures. He said
on Thursday that the final vote on the government's key spending
limit bill will be held as planned next Tuesday.
But the gains were short-lived, and the Bovespa started
losing after the European Central Bank announced an extension of
its stimulus program, but at a slower intensity.
The ECB said it would cut monthly asset purchases to 60
billion euros from the current 80 billion but extend the buys
until the end of 2017. Markets had expected purchases to stay at
80 billion but only for six more months.
The Bovespa ended the day down 1.2 percent. Shares
in iron ore giant Vale fell nearly 4 percent on
profit-taking, while shares in oil behemoth Petrobras
weakened over 1 percent after a federal auditing court ordered a
freeze on the company's divestiture program late on Wednesday.
The real gained, however, as investors remained
optimistic after Wednesday's Supreme Court's decision.
The Mexican peso was flat.
Mexico's IPC stock index, which suffered its worst
November in over five years and fell last week amid the shock
election of Donald Trump in the United States, gained 1.65
percent, as traders jumped on relatively cheap assets.
Shares in cement giant Cemex rose nearly 5
percent, while billionaire Carlos Slim's telecoms company
America Movil rose almost 3 percent.
Chilean and Colombian markets did not open on Thursday due
to local holidays.
Key Latin American stock indexes and currencies at 2238 GMT:
Stock indexes daily % YTD %
MSCI Emerging Markets 879.32 1.35 10.73
MSCI LatAm 2323.36 0.19 26.97
Brazil Bovespa 60676.57 -1.2 39.97
Mexico IPC 46360.23 1.65 7.87
Chile IPSA 4224.67 0.24 14.79
Chile IGPA 21075.86 0.22 16.11
Argentina MerVal 17196.77 -0.22 47.29
Colombia IGBC 9798.00 -0.18 14.63
Venezuela IBC 36530.48 1.16 150.41
Currencies daily % YTD %
Brazil real 3.3824 0.31 14.57
Mexico peso 20.3415 -0.01 -15.30
Chile peso 654.82 0.00 8.38
Colombia peso 3003 -0.02 5.54
Peru sol 3.403 0.00 0.32
Argentina peso (interbank) 15.9950 -0.50 -18.83
Argentina peso (parallel) 16.25 -0.43 -12.18
(Reporting by Bruno Federowski; Editing by Frances Kerry and