Chile's IPSA index extends losses; peso firms

By Aaron Nelsen

SANTIAGO, Oct 15 (Reuters) - Chile's benchmark stocks market IPSA .IPSA skid on Thursday, as investors booked profits on concerns the market is ahead of itself in pricing.

Earlier this week, the IPSA aggressively climbed near its historic peak of 3,512.19, but has weakened in back-to-back sessions on uncertainty over third-quarter company earnings.

The index closed 0.8 percent lower to 3,437.02, and the all-market IGPA .IGPA fell 0.7 percent to 16,146.70.

"The market was the same as yesterday in that it appeared to be headed for gains, but ended negative," said Rodrigo Andaur, head of research for FIT Research brokerage. "I think investor profit taking partly explains the decline."

The IPSA was dragged lower on a broad range of stocks, including commodity, consumer and banking stocks.

Soquimich SQM_pb.SN, Chile's leading exporter of fertilizer and the world's biggest producer of iodine and lithium, fell nearly 2 percent to 20,417 pesos.

Limiting losses was Chilean retailer Ripley Co. RIP.SN, closing 2.6 percent higher to 409.45 pesos.

Earlier in the day, Chile's peso recorded a second day of slight gains against the U.S. dollar, rising as the greenback continues to weaken agains the Euro.