EMERGING MARKETS-Brazil's real lags Latam FX on a barrage of weak data

    * Chilean peso set to lag peers this week
    * Mexican Q4 GDP better than expected
    * Most Latam stocks and currencies eye weekly losses

    By Ambar Warrick
    Jan 29 (Reuters) - Brazil's real led losses across Latin
American currencies on Friday after data highlighted weakness in
the region's largest economy, while Mexico's peso was propped up
by a better than expected reading of fourth quarter GDP.
    The real sank more than 1% versus the dollar after
central bank figures showed national debt and the public sector
deficit ended last year at record highs.
    Separate readings showed confidence in Brazil's services
sector fell in January, while annual producer price inflation 
also ended last year at a historic high.

    The data came in the wake of spiking COVID-19 cases and
deaths in the Americas, with most Latam countries racing to roll
out vaccines.
    Doubts over the passing of a $1.9 trillion U.S. stimulus
package had also hurt risk-driven assets through the week,
setting up Latam currencies for weekly losses.
    MSCI's index of Latam stocks fell about 1%
in early trade and was set to end lower on the week. 
    Mexico's peso rose 0.4% after fourth-quarter GDP beat
expectations. But Latin America's second-largest economy shrank
by 8.5% last year due to the coronavirus, its worst slump since
the Great Depression.
    Spiking COVID-19 cases in Mexico, coupled with uncertainty
over the rollout of a vaccine program have hurt the peso in
recent weeks. But the Mexican economy is expected to eventually
benefit from a bounceback in its biggest trading partner, the
United States.
    "In addition to global risk sentiment the decisive exchange
rate driver is likely to be the prospect for the U.S. economy,
and thus the decision on the U.S. fiscal package," Elisabeth
Andreae, FX and EM analyst at Commerzbank wrote in a note.
    "If prospects there improve this is likely to support the
peso as the export orientated country is likely to benefit via
its close ties with the United States." 
    Chile's peso was set to lag its peers for the week
with a 1.4% drop, as weakness in the copper market- Chile's top
export- hurt the currency.
    Chile's central bank held interest rates at ultra-low levels
this week, which is also expected to weigh on the peso.
    Colombia's peso fell slightly ahead of a central bank
meeting later in the day. The bank is expected to hold rates at
a record low as it continues to try and boost an economy
battered by the pandemic.
    Key Latin American stock indexes and currencies:
                              Latest      Daily % change
 MSCI Emerging Markets         1336.62                -1.03
 MSCI LatAm                    2336.47                -1.04
 Brazil Bovespa              117975.94                -0.76
 Mexico IPC                          -                    -
 Chile IPSA                    4398.72                -0.27
 Argentina MerVal                    -                    -
 Colombia COLCAP               1367.20                    - Currencies             Latest      Daily % change
 Brazil real                    5.4870                -0.93
 Mexico peso                   20.1550                 0.38
 Chile peso                      733.9                 0.53
 Colombia peso                 3543.63                 0.42
 Peru sol                       3.6347                 0.22
 Argentina peso                87.2000                -0.09

 (Reporting by Ambar Warrick in Bengaluru; Editing by Kirsten