Latam currencies set to log weekly gains as Fed rate cut bets firm
Sheinbaum taps Garcia Harfuch as security minister
Argentina analysts lower inflation forecast for 2024
MSCI Latam FX index to notch first weekly gain since May
Latam stocks flat, FX gains 0.3%
Updated at 03:15 p.m. ET/ 1915 GMT
By Johann M Cherian
July 5 (Reuters) -Latin American currencies edged higher on Friday as a softer U.S. jobs reportfirmed investor bets on a September rate cut from the Federal Reserve, while concerns around fiscal stability in the region lingered.
MSCI's index tracking currencies in the region .MILA00000CUS gained 0.3% against the dollar, set for its first weekly gain since May 13.
Investors assessed data which showed U.S. jobs growth slowed and unemployment rose, holding on to bets that the Federal Reserve might deliver two interest rate cuts in 2024.
Most central banks in Latin America have paused their monetary easing cycles, as analysts expect the Fed to defer its first interest rate cut.
Brazil's real BRL= advanced 0.4%, on track for a weekly gain of over 2%. The currency made gains in the last two sessions after President Luiz Inacio Lula da Silva committed his government to fiscal stability.
The leader's comments on greater fiscal spending and on the domestic central bank's stance on restrictive monetary policy had depressed the real towards the end of the second quarter.
"After a sharp sell-off over the past month, we believe the market is close to hitting bottom," said Elizabeth Johnson, managing director, Brazil research at TS Lombard.
"Lula's attacks on Banco Central Governor Campos Neto are likely to cease for now, but market jitters are only likely to fully dissipate when a new governor is named."
Mexico's peso MXN= edged 0.1% lower, set to snap a three-session winning streak. President-elect Claudia Sheinbaum continued to name cabinet officials ahead of taking office on Oct 1, with Omar Garcia Harfuch set to be her security minister.
Oil producer Colombia's COP= added 0.4% in light trading, while copper producer Chile CLP= lost 0.3%.
Chile's finance minister Mario Marcel said the economy showed weakness in June, but is expected to improve in the second half of this year.
On the equities front, a gauge tracking regional bourses .MILA00000PUS held steady, but was set for a weekly rise of over 2%.
Brazil's Bovespa .BVSP traded flat, while Mexican stocks .MXX lost 0.6%.
Argentina's peso traded at 1400 to the dollar in parallel trade, while the MerVal index .MERV rose 0.9%, ahead of a monetary policy report by the domestic central bank later in the day.
A central bank survey showed analysts expect annual inflation to stand at 138.1%, compared with an earlier estimate of 146.4%.
Key Latin American stock indexes and currencies:
Latin American market prices from Reuters | ||
Stock indexes | Latest | Daily % change |
MSCI Emerging Markets .MSCIEF | 1106.13 | 0.18 |
MSCI LatAm .MILA00000PUS | 2232.73 | 0.05 |
Brazil Bovespa .BVSP | 126214.48 | 0.04 |
Mexico IPC .MXX | 52309.95 | -0.66 |
Chile IPSA .SPIPSA | 6470.84 | -0.94 |
Argentina MerVal .MERV | 1627143.65 | 0.893 |
Colombia COLCAP .COLCAP | 1379.77 | -0.36 |
Currencies | Latest | Daily % change |
Brazil real BRBY | 5.4647 | 0.38 |
Mexico peso MXN=D2 | 18.0870 | -0.06 |
Chile peso CLP=CL | 936.9 | -0.29 |
Colombia peso COP= | 4076.21 | 0.37 |
Peru sol PEN=PE | 3.7804 | -0.03 |
Argentina peso (interbank) ARS=RASL | 915.0000 | -0.11 |
Reporting by Johann M Cherian and Shristi Achar A in Bengaluru; editing by Barbara Lewis and Alistair Bell
Aloqador aktivlar
Eng oxirgi yangiliklar
Javobgarlikdan voz kechish: XM Group korxonalari har biri faqat ijro xizmatlarini koʻrsatadi va onlayn savdo platformamizdan foydalanish huquqini beradi, bu odamga veb-saytda yoki veb-sayt orqali mavjud boʻlgan kontentni koʻrish va/yoki undan foydalanishga ruxsat beradi hamda uni oʻzgartirishga moʻljallanmagan va uni oʻzgartirmaydi yoki kengaytirmaydi. Bunday kirish va foydalanish huquqi doimo quyidagilarga boʻysunadi: (i) Shartlar va qoidalar; (ii) Risklar haqida ogohlantirish; va (iii) Javobgarlikni toʻliq rad etish. Shuning uchun bunday kontent umumiy maʼlumot sifatida taqdim etiladi. Xususan, shuni esda tutingki, bizning onlayn savdo platformamiz mazmuni moliyaviy bozorlarda biror bitimni amalga oshirishga oid maslahat yoki taklif emas. Har qanday moliyaviy bozorda savdo qilish sizning kapitalingiz uchun jiddiy risk darajasini oʻz ichiga oladi.
Onlayn savdo platformamizda chop etilgan barcha materiallar faqat taʼlim/axborot maqsadlari uchun moʻljallangan va unda moliyaviy, investitsiya soligʻi yoki savdo maslahatlari va tavsiyalar; yoki bizning savdo narxlarimizning qaydlari; yoki har qanday moliyaviy vositalar bilan bitim tuzish maslahati yoki taklifi; yoki sizga kerak boʻlmagan moliyaviy reklama aksiyalari hisoblanmaydi
Har qanday uchinchi tomon kontenti, shuningdek XM tomonidan tayyorlangan kontent, masalan: fikrlar, yangiliklar, tadqiqotlar, tahlillar, narxlar va boshqa maʼlumotlar yoki bu veb-saytda joylashgan uchinchi tomon saytlariga havolalar umumiy bozor sharhi sifatida "boricha" taqdim etiladi va investitsiya maslahatini tashkil etmaydi. Har qanday kontent investitsiya tadqiqoti sifatida talqin qilinsa, siz bunday kontentni investitsiya tadqiqotlarining mustaqilligini ragʻbatlantirish uchun moʻljallangan qonun talablariga muvofiq moʻljallanmagan va tayyorlanmaganligini eʼtiborga olishingiz va qabul qilishingiz kerak, shuning uchun unga tegishli qonunlar va qoidalarga muvofiq marketing kommunikatsiyasi sifatida qaraladi. Mustaqil boʻlmagan investitsiya tadqiqoti va yuqoridagi maʼlumotlarga oid risk haqida ogohlantirishimizni oʻqib chiqqaningizga va tushunganingizga ishonch hosil qiling, unga bu yerdan kirish mumkin.
