By Bruno Federowski
SAO PAULO, April 11 Latin American stocks and
currencies fell on Tuesday as ballooning geopolitical concerns
drove investors away from high-yielding assets.
The White House said on Monday that President Donald Trump
was open to authorizing additional strikes on Syria, while North
Korea warned of a nuclear attack on the United States if
Traders reacted by scurrying for safe havens, such as the
U.S. dollar and gold, weighing on prices of
emerging market assets.
The Mexican and Chilean pesos weakened
around 0.5 percent, while the Brazilian real slipped 0.3
Brazil's benchmark Bovespa stock index slipped 0.8
percent, also weighed down by concerns that President Michel
Temer may need to water down a planned pension reform further to
guarantee lawmaker support.
Shares of airline carrier Azul SA jumped as much
as 9 percent in its market debut in the sector's first new
listing in more than a decade.
Larger rival Gol Linhas Aereas Inteligentes SA,
not a part of the benchmark index, also rose on news that Temer
planned to allow full foreign ownership of the country's
carriers, expanding options for funding the sector's turnaround.
Argentina's Merval stock index surpassed the 21,000
level for the first time ever, supported by the energy sector
and a strengthening currency on indications that the
central bank will further increase interest rates.
Key Latin American stock indexes and currencies at 1600 GMT:
Stock indexes daily % YTD %
MSCI Emerging Markets 953.99 -0.42 11.1
MSCI LatAm 2624.49 -0.73 12.95
Brazil Bovespa 64105.55 -0.84 6.44
Mexico IPC 49454.55 -0.17 8.35
Chile IPSA 4862.37 -0.78 17.13
Chile IGPA 24362.96 -0.74 17.50
Argentina MerVal 20956.82 0.14 23.87
Colombia IGBC 10198.37 -0.35 0.69
Venezuela IBC 46808.70 3.13 47.64
Currencies daily % YTD %
Brazil real 3.1459 -0.28 3.28
Mexico peso 18.7505 -0.40 10.63
Chile peso 654.2 -0.47 2.52
Colombia peso 2863.5 -0.07 4.82
Peru sol 3.248 -0.09 5.11
Argentina peso (interbank) 15.2250 -0.03 4.27
Argentina peso (parallel) 15.55 0.51 8.17
(Reporting by Bruno Federowski; Editing by Dan Grebler)