Chile stocks rebound in late trade, peso falls

(Updates with bourse close)

By Alexia Vlahos

SANTIAGO, May 22 (Reuters) - Chilean shares rose on Friday in choppy trade as late buying reversed losses caused by profit-taking earlier in the session, while the peso fell, traders said.

The IPSA .IPSA blue-chip share index closed 0.34 percent firmer at 3,062.97 points, preliminary closing data showed, while the all-market IGPA index .IGPA closed 0.32 percent higher at 14,447.28 points.

The IPSA has gained 28.9 percent since the start of the year.

"(Thursday) was a public holiday (in Chile) so the market's factoring in what happened yesterday," said Felipe Cruz, a trader at the CorpCapital brokerage.

On Wall Street, the Dow Jones .DJI index fell 0.18 percent, closing down for a fourth straight session on persistent worries about the U.S. economic outlook.

Soquimich SQM_pb.SN, Chile's leading exporter of fertilizer and the world's biggest producer of iodine and lithium, fell 3.53 percent to 19,877 pesos per share.

Cencosud CEN.SN, one of Latin America's largest retailers, rose 0.14 percent to 1,402.20 pesos.