Latin American stocks hit a 10-week high,
while currencies rallied on Monday as investors bet on economic
recovery from the coronavirus with more countries emerging from
virus-induced lockdowns.
Brazil's real jumped 2%, extending gains to a fourth
session, while Mexico's peso appeared to be headed for
its sixth straight winning session. Chile's currency
gained 0.8%.
In line with broader emerging market peers, regional stocks
rallied. Sao Paulo's Bovespa index jumped nearly 4% to a
near 11-week high, while Mexican stocks added 0.2%.
The MSCI's index of Latin American equities
rose 3.5%, although trading volumes were thin as UK and U.S.
markets were closed for holidays.
Data showing improving business confidence from Europe's
powerhouse, Germany, reinforced hopes that further easing of
virus-related restrictions would help the global economy emerge
from what is expected to be a deep recession.
"The low point of the slump should now be behind us and
there even is the chance for a short-lived strong rebound in the
coming months," Carsten Brzeski, chief economist for the euro
zone at ING, said of the data.
The data, along with news that Japan had lifted a
virus-driven state of emergency across several areas, saw a
pullback in the U.S. dollar as risk appetite grew, aiding
regional currencies.
The MSCI's index of regional currencies rose
more than 1% to touch its highest level this month.
Still, from an economic perspective, the regional picture
remained grim, with Brazil on Friday sharply revising downward
its 2020 budget deficit and national debt forecasts to record
levels.
With over 360,000 cases, Brazil is the second worst-hit
country globally by the COVID-19 disease caused by the virus.
Brazil's President Jair Bolsonaro has been an open critic of
social distancing protocols, calling for increased business
activity to keep the economy afloat.
A federal investigation revealing likely abuse of power has
further hit Bolsonaro's popularity. And, several ministers from
his administration have resigned in the last two months over
differences with him.
In Mexico, President Andres Manuel Lopez Obrador said a
slowdown in China's economy this year should allow Mexico to
attract more investment.
U.S.-China trade tensions stewed as the White House warned
of sanctions on China as Beijing pressed ahead with a new
security law on Hong Kong that threatens the city's status as a
financial hub.
Markets in Argentina and Colombia were closed for national
holidays.
Latin American stock indexes and currencies at 1853 GMT:
Stock indexes Latest Daily % change
MSCI Emerging Markets 911.56 0.7
MSCI LatAm 1733.86 3.82
Brazil Bovespa 85467.28 4.01
Mexico IPC 35891.97 0.3
Chile IPSA 3719.37 -0.11
Currencies Latest Daily % change
Brazil real 5.4584 2.09
Mexico peso 22.6089 0.51
Chile peso 804.5 0.12
Peru sol 3.4257 0.10
(Reporting by Susan Mathew in Bengaluru; editing by Jonathan
Oatis and Grant McCool)
Our Standards:The Thomson Reuters Trust Principles.0 : 0narrow-browser-and-phonemedium-browser-and-portrait-tabletlandscape-tabletmedium-wide-browserwide-browser-and-largermedium-browser-and-landscape-tabletmedium-wide-browser-and-largerabove-phoneportrait-tablet-and-aboveabove-portrait-tabletlandscape-tablet-and-abovelandscape-tablet-and-medium-wide-browserportrait-tablet-and-belowlandscape-tablet-and-belowAppsNewslettersAdvertise with UsAdvertising GuidelinesCookiesTerms of UsePrivacyAll quotes delayed a minimum of 15 minutes. See here for a complete list of exchanges and delays.
© 2020 Reuters. All Rights Reserved.
window.RCOM_Data = {"header_9lw3oqulbf":{"template":"header","evergreens":[{"url":"https://www.reuters.com/news/world","name":"World","sponsored":false},{"url":"https://www.reuters.com/finance","name":"Business","sponsored":false},{"url":"https://www.reuters.com/finance/markets","name":"Markets","sponsored":false},{"url":"https://www.reuters.com/politics","name":"Politics","sponsored":false},{"url":"https://www.reuters.tv/","name":"TV","sponsored":false}],"topics":[{"url":"https://www.reuters.com/brexit","name":"Brexit","sponsored":false},{"url":"https://www.reuters.com/subjects/sustainable-business","name":"Sustainability","sponsored":false},{"url":"https://www.reuters.com/subjects/myanmar-reporters","name":"Imprisoned In Myanmar","sponsored":false},{"url":"https://www.reuters.com/subjects/charged","name":"Future of Cars","sponsored":false},{"url":"https://www.reuters.com/places/venezuela","name":"Venezuela","sponsored":false},{"url":"https://www.reuters.com/the-world-at-work","name":"World At Work","sponsored":false},{"url":"https://www.reuters.com/breakingviews","name":"Breakingviews","sponsored":false},{"url":"","name":"","sponsored":false},{"url":"","name":"","sponsored":false},{"url":"","name":"","sponsored":false},{"url":"","name":"","sponsored":false},{"url":"","name":"","sponsored":false}],"featured_stories":[{"displayName":"WORLD","url":"//www.reuters.com/article/us-health-coronavirus-cuba-graffiti/corona-town-cuban-graffiti-depicts-anguish-urges-courage-idUSKBN2311T4","image":"//s1.reutersmedia.net/resources/r/?mu003d02u0026du003d20200525u0026tu003d2u0026iu003d1519835036u0026ru003dLYNXMPEG4O1A1","headline":"u0027Corona townu0027: Cuban graffiti depicts anguish, urges courage"},{"displayName":"Autos","url":"//www.reuters.com/article/us-autos-nissan-renault-alliance-insight/nissan-and-renault-shelve-merger-plans-to-repair-their-alliance-sources-idUSKBN23123W","image":"//s4.reutersmedia.net/resources/r/?mu003d02u0026du003d20200525u0026tu003d2u0026iu003d1519843882u0026ru003dLYNXMPEG4O1DS","headline":"Nissan, Renault shelve merger plans to repair alliance: sources"},{"displayName":"EMERGING FROM LOCKDOWN","url":"//www.reuters.com/article/us-health-coronavirus-portugal-businesse/with-little-state-aid-zombie-shops-in-portugal-fear-short-lived-reopening-idUSKBN23117L","image":"//static.reuters.com/resources/media/global/assets/images/20200525/20200525_5162346920200525121112.jpg","headline":"Zombie shops in Portugal fear short-lived reopening"},{"displayName":"Reuters Fact Check","url":"//www.reuters.com/fact-check","image":"//pictures.reuters.com/Doc/RTR/Media/TR3_UNWATERMARKED/e/2/d/c/RTX7J49R.jpg","headline":"Can you tell the truth from fiction? Let Reuters Fact Check help"},{"url":"/article/us-health-coronavirus-who-peak/who-warns-of-second-peak-in-areas-where-covid-19-declining-idUSKBN2311VJ","image":"//pictures.reuters.com/Doc/RTR/Media/TR3_UNWATERMARKED/5/f/4/d/RTS38XPY.jpg","headline":"WHO warns of u0027second peaku0027 where virus declining"}],"render_key":"header_9lw3oqulbf","menu":[{"url":"/home","name":"Home"},{"url":"/finance","name":"Business","children":[{"url":"/finance","name":"Business Home"},{"url":"/legal","name":"Legal"},{"url":"/finance/deals","name":"Deals"},{"url":"/subjects/aerospace-and-defense","name":"Aerospace u0026 Defense"},{"url":"/subjects/banks","name":"Finance"},{"url":"/subjects/autos","name":"Autos"},{"url":"/finance/summits","name":"Reuters Summits"},{"url":"/subjects/sustainable-business","name":"Sustainable Business"},{"url":"/the-world-at-work","name":"The World at Work"}]},{"url":"/finance/markets","name":"Markets","children":[{"url":"/finance/markets","name":"Markets Home"},{"url":"/finance/markets/us","name":"U.S. Markets"},{"url":"/finance/markets/europe","name":"European Markets"},{"url":"/finance/markets/asia","name":"Asian Markets"},{"url":"/finance/global-market-data","name":"Global Market Data"},{"url":"/markets/stocks","name":"Stocks"},{"url":"/markets/bonds","name":"Bonds"},{"url":"/markets/currencies","name":"Currencies"},{"url":"/markets/commodities","name":"Commodities"},{"url":"/finance/funds","name":"Funds"},{"url":"/finance/EarningsUS","name":"Earnings"},{"url":"/finance/markets/dividends","name":"Dividends"},{"url":"/finance/exchange-traded-funds","name":"Exchange-Traded Funds"},{"url":"/subjects/us-lipper-awards","name":"Lipper Awards"},{"url":"https://stockscreener.us.reuters.com/Stock/US/Index?quickscreenu003dgaarp","name":"Stock Screener"},{"url":"https://funds.us.reuters.com/US/screener/screener.asp","name":"Fund Screener"}]},{"url":"/news/world","name":"World","children":[{"url":"/news/world","name":"World Home"},{"url":"/news/us","name":"U.S."},{"url":"/subjects/specialReports","name":"Special Reports"},{"url":"//www.reuters.com/investigates/","name":"Reuters Investigates"},{"url":"/subjects/euro-zone","name":"Euro Zone"},{"url":"/subjects/middle-east","name":"Middle East"},{"url":"/places/china","name":"China"},{"url":"/places/japan","name":"Japan"},{"url":"/places/mexico","name":"Mexico"},{"url":"/places/brazil","name":"Brazil"},{"url":"/places/africa","name":"Africa"},{"url":"/places/russia","name":"Russia"},{"url":"/places/india","name":"India"}]},{"url":"/politics","name":"Politics","children":[{"url":"/politics","name":"Politics Home"},{"url":"/politics/us-election2020","name":"Election 2020"},{"url":"/subjects/supreme-court","name":"Supreme Court"},{"url":"https://graphics.reuters.com/USA-POLLING-TRUMP/0100422Q4HZ/index.html","name":"Polling on the President"}]},{"url":"/news/technology","name":"Tech","children":[{"url":"/news/technology","name":"Technology Home"},{"url":"/news/science","name":"Science"},{"url":"/news/media","name":"Media"},{"url":"/energy-environment","name":"Energy and Environment"}]},{"url":"/breakingviews","name":"Breakingviews","children":[{"url":"/breakingviews","name":"Breakingviews Home"},{"url":"/video/breakingviews","name":"Breakingviews Video"}]},{"url":"/finance/wealth","name":"Wealth","children":[{"url":"/finance/wealth","name":"Wealth Home"},{"url":"/finance/personal-finance/retirement","name":"Retirement"}]},{"url":"/news/lifestyle","name":"Life","children":[{"url":"/news/health","name":"Health"},{"url":"/news/sports/soccer","name":"Soccer"},{"url":"/news/sports","name":"Sports"},{"url":"/news/entertainment/arts","name":"Arts"},{"url":"/news/entertainment","name":"Entertainment"},{"url":"/news/oddlyEnough","name":"Oddly Enough"}]},{"url":"/news/pictures","name":"Pictures","children":[{"url":"/news/pictures","name":"Pictures Home"},{"url":"http://widerimage.reuters.com","name":"The Wider Image"},{"url":"http://widerimage.reuters.com/photographer","name":"Photographers"}]},{"url":"/video","name":"TV"}],"config":{"edition":"BETAUS","lang":"en","ad_slots":{"mobile_first_canvas_hb":"no","inline_flex_mobile_sizes":[[2.0,2.0],[1.0,1.0],[1100.0,375.0],[300.0,250.0],"fluid"],"mobile_canvas_sizes":[[1100.0,200.0],[1100.0,300.0],[300.0,250.0],[1.0,1.0]],"mobile_mpu2_type":"bizdevmobwebfooter_1","feed_ad_sizes":[[1100.0,375.0],[300.0,212.0],[300.0,250.0],[1.0,1.0],"fluid"],"mobile_canvas_hb":"no","mobile_mpu_type":"mpu","rr_mpu2_type":"bizdev_article_rr2","rr_big2_type":"bizdev_article_rr3","mobile_canvas_type":"leaderboard","rr_big2_sizes":[[300.0,440.0]],"bottom_article_slot1_sizes":[[1100.0,420.0],"fluid"],"rr_big_sizes":[[300.0,462.0],[300.0,372.0],[1.0,1.0]],"mobile_big_sizes":[[300.0,472.0],[1.0,1.0]],"rr_mpu_hb":"yes","bottom_article_slot1_type":"connatix","mobile_first_canvas_type":"leaderboard","inline_flex_sizes":[[2.0,2.0],[1.0,1.0],[1100.0,375.0],"fluid"],"inline_native_type":"native","mobile_big_type":"bizdevmobwebfooter","first_canvas_sizes":[[728.0,90.0],[970.0,250.0],[970.0,90.0],[1100.0,100.0],[1.0,1.0]],"inline_canvas_sizes":[[2.0,2.0],[1.0,1.0],[1100.0,375.0],"fluid"],"inline_native_sizes":[[2.0,2.0],[1.0,1.0],[1100.0,375.0],[3020.0,375.0],"fluid"],"canvas_hb":"yes","mobile_first_canvas_sizes":[[1100.0,200.0],[1100.0,100.0],[1.0,1.0]],"canvas_type":"leaderboard","rr_mpu_type":"mpu","bottom_article_slot2_type":"bizdev_article_center","feed_ad_type":"landing","leaderboard_low_type":"leaderboardlow","mobile_mpu2_sizes":[[300.0,250.0],[1.0,1.0]],"bottom_article_slot1_mobile_sizes":[[300.0,450.0],"fluid"],"mobile_feed_ad_sizes":[[1100.0,375.0],[300.0,212.0],[300.0,250.0],[1.0,1.0],"fluid"],"rr_mpu_sizes":[[300.0,250.0],[1.0,1.0]],"bottom_article_slot2_sizes":[[300.0,300.0],[1100.0,420.0],[1.0,1.0],"fluid"],"first_canvas_type":"leaderboard","leaderboard_low_sizes":[[728.0,90.0],[970.0,250.0],[1100.0,100.0],[1100.0,200.0],[1100.0,300.0],[1.0,1.0]],"inline_native_mobile_sizes":[[2.0,2.0],[1.0,1.0],[1100.0,375.0],[300.0,250.0],"fluid"],"first_canvas_hb":"yes","mobile_mpu_sizes":[[2.0,2.0],[1.0,1.0],[1100.0,375.0],[300.0,250.0],[3020.0,375.0],"fluid"],"canvas_sizes":[[728.0,90.0],[970.0,250.0],[970.0,90.0],[1100.0,100.0],[1100.0,200.0],[1100.0,300.0],[1.0,1.0],[2.0,2.0]],"rr_mpu2_sizes":[[300.0,280.0]],"rr_big_type":"bizdev_article_rr1"}}},"article_list_oiswpw64ad":{"template":"article_list","fisco_kyodo_disclaimer":"","render_key":"article_list_oiswpw64ad","quote_path":"/finance/stocks/overview","tracking_data":{"channel":"Article - Markets","content_type":"Article","content_type_channel":"Article - Markets","content_channel":"Markets - Bonds","topic_channel":"Markets","topic_subchannel":"Bonds","backend_channel":"bondsNews"},"dart_domain":"us.reuters","fisco_kyodo_key":"","sharetools":["twitter","facebook"],"video_url":"https://queso-cdn.prod.reuters.tv/new/index.html","trustBadge_excludedChannels":"false","first_article":{"id":"USL1N2D70TP","source":"Reuters","layout_type":"default","channel":{"text":"Bonds News","path":"/news/archive/bondsNews"},"headline":"EMERGING MARKETS-Latam stocks at 10-week high, FX rallies","authors":[{"name":"Susan Mathew","journalist_url":"/journalists/susan-mathew"},{"name":"Ambar Warrick","journalist_url":"/journalists/ambar-warrick"}],"shareUrl":"https://reut.rs/2A2wwNH","published":1590433837,"updated":0,"path":"/article/emerging-markets-latam/emerging-markets-latam-stocks-at-10-week-high-fx-rallies-idUSL1N2D70TP","body":"u003cpreu003e * Brazil stocks up nearly 4%n * Trading volumes thin on U.S., UK holidaysnn (Adds details, updates prices)n By Susan Mathew and Ambar Warrickn May 25
Comments are closed.