(Updates lead, adds new table)
By Bruno Federowski
SAO PAULO, Oct 6 Mexico's currency and stocks
fell on Thursday as traders bet that a closely watched U.S.
employment report due on Friday will strengthen the case for an
interest rate increase this year.
Strong U.S. economic data has boosted expectations that the
U.S. Federal Reserve will soon act on rates, denting demand for
higher-yielding emerging market currencies.
A report showed on Thursday that the number of Americans
filing new claims for unemployment benefits unexpectedly fell
last week to near a 43-year low.
That reading came a day before the government's September
employment figures, a strong indicator of U.S. labor market
strength. Economists polled by Reuters estimate a 175,000
increase in non-farm payrolls.
Mexico's IPC stock index fell 0.41 percent to
47,944.77 points and its peso weakened 0.1 percent to
close at 19.235 per dollar. Brazil's real made small
gains due to an upcoming vote on a constitutional amendment that
would cap public spending in line with inflation for 20 years.
The real closed at 3.22 per greenback.
Analysts with political risk consultancy Eurasia Group said
they expect Congress to swiftly approve the amendment, which
traders see as crucial to regaining investor trust in Brazil.
The proposal "contains only modest concessions to lawmakers
focused on preserving social spending," they wrote in a report.
Key Latin American stock indexes and currencies at 2100 GMT:
Stock indexes daily % YTD %
Latest change change
MSCI Emerging 917.04 0.19 15.48
MSCI LatAm 2443.86 0.24 33.56
Brazil Bovespa 60644.24 0.65 39.89
Mexico IPC 47944.77 -0.41 11.56
Chile IPSA 4077.28 -0.19 10.79
Chile IGPA 20325.56 -0.14 11.98
Argentina MerVal 17143.32 0.42 46.84
Colombia IGBC 9921.52 0.2 16.08
Venezuela IBC 13335.23 -1.46 -8.59
Currencies daily % YTD %
Brazil real 3.2268 -0.16 22.32
Mexico peso 19.2350 0.00 -10.42
Chile peso 666.7 -0.28 6.45
Colombia peso 2905.4 0.00 9.08
Peru sol 3.408 -0.21 0.18
Argentina peso 15.2050 -0.07 -14.62
Argentina peso 15.52 0.52 -8.05
(Reporting by Bruno Federowski; Editing by Steve Orlofsky and