Brazil real ends at highest since Jan '99 on Fitch

SAO PAULO, May 29 (Reuters) - Brazil's currency rallied to its strongest close against the dollar since Jan. 20, 1999 on Thursday after Fitch Ratings upgraded the country's credit ratings to investment grade.

The real (BRBY: Quote, Profile, Research) firmed 1.03 percent to 1.639 per dollar after rising as high as 1.27 pct to 1.635 at one stage in late afternoon trade. Fitch on Thursday became the second large rating agency in less than a month to give the coveted classification to Latin America's largest economy.

Brazilian stocks .BVSP rose immediately after the news then retreated into negative territory, trading 1.5 percent lower as the upgrade had been expected and largely priced in, according to traders. (Writing by Andrei Khalip; Editing by James Dalgleish)