SAO PAULO, March 6 The Mexican peso weakened
slightly on Monday even after the central bank intervened to
support the ailing currency.
The central bank sold $1 billion worth of a new peso hedge
instrument similar to non-deliverable forwards. Total demand for
the new instruments was $2.075 billion, the bank said.
It had announced last month that it would sell up to $20
billion in currency hedges to shore up the peso, which has been
battered by U.S. President Donald Trump's pledges to tear up the
North America Free Trade Agreement (NAFTA).
Still, the peso has rebounded in recent weeks on
hopes that the United States and Mexico could strike a mutually
It hit a nearly four-month high on Monday, extending gains
from last week triggered by comments from a high-ranking U.S.
trade official, before turning lower.
Other Latin American currencies see-sawed as traders hoped
for more clues over the timing of the next U.S. interest rate
Several Federal Reserve officials have signaled that could
happen as soon as this month, weighing on demand for
high-yielding emerging market assets.
The Brazilian real was flat, while the country's
benchmark Bovespa stock index fell 0.7 percent. Shares
of miner Vale SA subtracted the most points from the
index, tracking a decline in iron ore prices.
Key Latin American stock indexes and currencies at 1640 GMT:
Stock indexes daily % YTD %
Latest change change
MSCI Emerging Markets 934.02 0.32 7.98
MSCI LatAm 2609.77 0.11 11.37
Brazil Bovespa 66256.04 -0.79 10.01
Mexico IPC 47498.59 0.18 4.07
Chile IPSA 4434.92 0.12 6.83
Chile IGPA 22240.96 0.2 7.27
Argentina MerVal 19061.22 -1.06 12.67
Colombia IGBC 9874.38 -0.33 -2.51
Venezuela IBC 37624.86 0.07 18.67
Currencies daily % YTD %
Brazil real 3.1173 -0.14 4.23
Mexico peso 19.5330 -0.17 6.20
Chile peso 660.5 -0.41 1.54
Colombia peso 2965.1 0.16 1.23
Peru sol 3.294 -0.46 3.64
Argentina peso (interbank) 15.4450 0.03 2.78
Argentina peso (parallel) 16.07 0.00 4.67
(Reporting by Bruno Federowski; Editing by Dan Grebler)