By Bruno Federowski
SAO PAULO, Oct 14 Mexico's stock index and
currency fell on Friday after Federal Reserve Chair Janet Yellen
laid out deepening concerns at the Fed that U.S. economic
potential is slipping and may need aggressive steps to rebuild
Yellen's comments, which were posed as questions that need
more research, rattled investors.
Mexico's IPC stock index fell 0.08 percent, while the
peso weakened 0.47 percent to 19.02 per U.S. dollar.
Brazilian stocks rose more than 1 percent after
state-controlled oil company Petróleo Brasileiro SA announced a
fuel price cut and a new pricing policy.
Petrobras said it will reassess prices on a monthly basis to
follow global markets more closely, without falling below
international prices, turning the page on years of politically
driven pricing that cost the company billions.
Though lower short-term fuel prices tend to hurt revenue,
increased transparency could help lure partners in refining
projects, BTG Pactual said in a sales note.
Demand for emerging market assets has been tepid in recent
days as expectations grow that the Federal Reserve will raise
interest rates in December.
Key Latin American stock indexes at 2154 GMT:
Stock indexes daily % YTD %
MSCI Emerging Markets 897.03 0.72 12.96
MSCI LatAm 2496.13 1.14 36.41
Brazil Bovespa 61767.22 1.06 42.49
Mexico IPC 47701.45 -0.08 10.99
Chile IPSA 4141.16 0.38 12.53
Chile IGPA 20746.20 0.43 14.29
Argentina MerVal 17414.89 1.04 49.16
Colombia IGBC 9946.92 -0.53 16.37
Venezuela IBC 13552.60 0.66 -7.10
(Reporting by Bruno Federowski and Noe Torres; Editing by Phil
Berlowitz and Grant McCool)