* MSCI Latam currencies index up 0.1%, shares up 0.3% * Rouble slips, Ukraine bonds fall forward of U.S.-Russia talks * Argentina’s shares drop after crypto scandal * Brazil financial exercise slipped in December (Updates to mid-session buying and selling) By Lisa Pauline Mattackal and Johann M Cherian Feb 17 (Reuters) – Most Latin American currencies have been muted on Monday, as traders paused after ending the earlier week on a buoyant be aware, whereas Argentine shares and bonds slid after libertarian President Javier Milei was linked to a cryptocurrency scandal that’s now beneath investigation. Argentina’s benchmark index slid 5.4% and hard-currency bonds fell between 0.2 and a pair of.6 cents on the greenback after lawmakers mentioned President Milei may face an impeachment trial after touting the $LIBRA cryptocurrency which crashed quickly after. “There have been requires the impeachment of Argentinian President Milei after their social media account endorsed a crypto, the value of which went first to ($)5,000, then to lower than ($)1,” mentioned Paul Donovan, chief economist at UBS International Wealth Administration. “Bursting bubbles, whether or not crypto, NFTs, or tulips have related financial results. Wealth is transferred from bubble consumers to bubble sellers, and tends to depress consumption.” Extra broadly, MSCI’s index monitoring the area’s currencies was up 0.1%, hovering round its highest stage since October, whereas the index monitoring regional shares gained 0.3% to its highest in three months Most regional currencies and inventory indexes notched weekly positive aspects on Friday, after a bigger-than-expected drop in U.S. retail gross sales rekindled hopes for a number of Federal Reserve price cuts this 12 months. The delayed implementation of reciprocal U.S. tariffs additionally introduced some reduction regardless of continued uncertainty over how and when Trump’s administration will proceed. On Monday, native foreign money bonds gained between 1 and 6.4 reals and native shares added 0.6% after financial exercise knowledge confirmed that the economic system grew 3.8% in 2024, however misplaced some momentum on the finish of the 12 months after the central financial institution started to hike rates of interest. Brazil’s actual was final flat after the central financial institution’s financial coverage director reiterated expectations for an rate of interest hike of 100 foundation factors on the subsequent coverage assembly. Alternatively, Chile’s peso dipped 0.8%, snapping a nine-session successful streak as copper costs fell. The trade-sensitive Mexican peso was flat, whereas the primary inventory index added 0.3%. Colombia’s peso dipped 0.1% as traders assessed knowledge that confirmed the economic system grew by 1.7% in 2024, lower than the 1.8% as per a Reuters forecast. The Colcap index rose 1.2%, boosted by oil firm Ecopetrol’s 1.2% bounce, monitoring larger crude costs. Peru’s sol inched up 0.2% after knowledge on Saturday confirmed the economic system grew greater than anticipated in December. Buying and selling was gentle, with U.S. markets closed for a vacation. RUSSIA PEACE TALKS In the meantime, focus remained on geopolitics, as traders awaited the end result of discussions to resolve the Russia-Ukraine battle. The rouble’ s current rally stalled forward of the discussions, with the foreign money shedding 0.4% in opposition to the greenback. Costs of Ukraine’s sovereign dollar-denominated bonds dropped, with the 2036 maturity shedding 1 cent to commerce at 68.75 cents on the greenback, its greatest each day fall this 12 months. Nonetheless, hopes for an finish to the three-year battle lifted shares in Europe, regardless of uncertainty because the area’s leaders met for an emergency summit and Ukraine President Volodymyr Zelenskiy dismissed the talks. Polish shares jumped to their highest since 2018, and the PX Prague SE Index hit a recent document excessive. Key Latin American inventory indexes and currencies at 1952 GMT: Latin American market costs from Reuters Eq Newest Each day % change ui ti es MS 1130.6 0.48 CI Em er gi ng Ma rk et s <. ms="" ci="" ef=""> MS 2128.32 0.39 CI La tA m <. mi="" la="" us=""> Br 129052.15 0.65 az il Bo ve sp a <. bv="" sp=""> Me 54253.92 0.33 xi co IP C <. mx="" x=""> Ch 7303.62 -0.76 il e IP SA <. sp="" ip="" sa=""> Ar 2256465.65 -5.484 ge nt in a Me rv al <. me="" rv=""> Co 1571.29 1.24 lo mb ia CO LC AP <. co="" lc="" ap=""> Cu Newest Each day % change rr en ci es Br 5.7095 -0.09 az il re al Me 20.2768 0.07 xi co pe so
Ch 947 -0.83 il e pe so
Co 4128.24 -0.11 lo mb ia pe so
Pe 3.692 0.19 ru so l
Latam FX muted after current positive aspects; Argentine markets hit after crypto scandal
