EMERGING MARKETS-Latam stocks rise, Bovespa gains on reform hopes
Tuesday, May 21, 2019       05:31 WIB

May 20 (Reuters) - A Latin American stocks benchmark rose on Monday, boosted by shares in index heavyweight Brazil, while
Latin American currencies were pressured by the dollar, with risk appetite capped by fears of worsening U.S.-China trade
Optimism regarding a proposal to reform Brazil's pension system boosted investor sentiment, while a U.S. crackdown on
China's Huawei Technologies led to general weakness among a range of global markets.
MSCI 's Latin American stocks index rose 0.6%, after hitting a 2019 low on Friday.
Brazil's congressional pension reform bill coordinator said his report on the proposed legislation will be ready by June 15,
or perhaps earlier.
Sao Paulo-traded stocks tacked on 1.8%, aided by gains across most sectors, lifting off Friday's near five-month closing low.
Shares of state-run oil company Petroleo Brasileiro SA rose, with common shares gaining 1.5% and preferred shares
rising 2.5%.
Gol Linhas Aereas Inteligentes SA's preferred shares rose 1.7%. U.S. hedge fund Elliott Management is opposing a new plan by Azul SA, Gol's rival, to buy some routes operated by financially troubled Avianca Brasil for $145 million, as per a legal document seen by Reuters.
Elliott is asking the court to dismiss Azul's proposal and keep its own plan intact which, if approved by a judge, would
benefit Gol.
Brazil's real marked time, while yields on local 10-year bonds fell 8 basis points to 9.02%.
The currency's recent weakness has helped set the stage for rising momentum in Brazil's soybean trade, according to analysts, driven by a wave of Chinese demand.
Mexican stocks held an even keel, supported by a 3.5% gain in retailer Walmex. The peso firmed 0.4%.
Stocks in Argentina licked their wounds after Friday's 1.7% drop, trading 0.6% higher, while the peso softened.
Colombia's peso weakened, while stocks declined 0.8%.

Sumber : reuters.com

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