By Bruno Federowski
SAO PAULO, Nov 23 Latin American currencies
weakened on Wednesday following strong U.S. economic figures and
ahead of the U.S. Thanksgiving holiday.
New orders of U.S. manufactured capital goods rebounded in
October, pointing to a tentative pickup in business investment,
while unemployment benefits rose last week but remained
consistent with a tightening labor market.
The figures reinforced expectations that the Federal Reserve
will increase rates in December, possibly draining capital away
from high-yielding emerging markets.
Traders also purchased dollars ahead of Thanksgiving,
seeking protection from unexpected market moves on Thursday and
The Brazilian real weakened 1.5 percent to 3.41 to
the U.S. dollar, falling more than its peers.
Brazil's central bank did not announce any market
intervention for Wednesday after fully rolling over the $6.5
billion worth of currency swaps, which correspond to future
dollar sales, maturing next month.
The bank had stepped up its interventions after U.S.
President-elect Donald Trump's unexpected victory this month
triggered an emerging market selloff.
Other emerging market currencies, such as the Indian rupee
and the Turkish lira, earlier neared record lows
as Trump-related concerns drove capital away from emerging
Key Latin American stock indexes and currencies at 1440 GMT:
Stock indexes daily % YTD %
Latest change change
MSCI Emerging Markets 852.89 -0.53 7.97
MSCI LatAm 2284.09 -2 27.38
Brazil Bovespa 61352.51 -0.97 41.53
Mexico IPC 44650.09 -0.49 3.89
Chile IPSA 4209.01 -0.18 14.37
Chile IGPA 21014.26 -0.09 15.77
Argentina MerVal 17220.53 -0.49 47.50
Colombia IGBC 9691.27 -0.06 13.38
Venezuela IBC 26191.02 0 79.54
Currencies daily % YTD %
Brazil real 3.4070 -1.54 15.85
Mexico peso 20.7045 -0.55 -16.78
Chile peso 678.05 -0.13 4.67
Colombia peso 3196.99 -1.53 -0.87
Peru sol 3.428 -0.29 -0.41
Argentina peso (interbank) 15.5550 -0.68 -16.54
Argentina peso (parallel) 15.81 0.06 -9.74
(Reporting by Bruno Federowski; Editing by Nick Zieminski)