(Updates with final prices)
By Bruno Federowski
SAO PAULO, Sept 30 Latin American currencies
strengthened on Friday on reports Deutsche Bank is
close to reaching an accord with U.S. officials to settle
charges related to its sale of toxic mortgage bonds before the
Concerns over the financial health of Germany's largest bank
sent investors scurrying for safer assets earlier this week.
Agence France-Presse reported Deutsche Bank was nearing a
settlement to pay $5.4 billion. About two weeks ago, the bank
said it would fight a $14 billion demand from the U.S.
Department of Justice.
Brazil's real currency strengthened 0.12 percent,
while its benchmark stock index closed little changed.
The Mexican peso firmed more than its peers
after the country's central bank increased rates by 50 basis
points to stem the currency's decline.
The hike "seems difficult to understand for those that look
at fundamentals but seems a lot clearer for those that think of
monetary policy as a damage control tool," J.P. Morgan
strategist Carlos Carranza wrote in a client note.
The peso was pushed to historic lows over the past weeks on
concerns that Republican candidate Donald Trump could become the
next U.S. president.
Key Latin American stock indexes and currencies at 2145 GMT:
Stock indexes daily % YTD %
MSCI Emerging Markets 903.46 -1.09 13.77
MSCI LatAm 2380.82 -0.84 30.11
Brazil Bovespa 58367.05 0.03 34.64
Mexico IPC 47245.80 -0.89 9.93
Chile IPSA 4015.25 -0.92 9.10
Chile IGPA 20046.48 -0.79 10.44
Argentina MerVal 16675.68 -0.4 42.83
Colombia IGBC 9847.21 -0.5 15.21
Venezuela IBC 12961.33 1.81 -11.15
Currencies daily % YTD %
Brazil real 3.2517 0.12 21.38
Mexico peso 19.372 0.75 -11.06
Chile peso 657.1 0.09 8.00
Colombia peso 2883.35 0.37 9.92
Peru sol 3.381 0.35 0.98
Argentina peso (interbank) 15.30 0.19 -15.15
Argentina peso (parallel) 15.66 0.19 -8.88
(Reporting by Bruno Federowski; Editing by Jeffrey Benkoe and