EMERGING MARKETS-Colombian peso up, Argentine stocks at record high on debt deal – Reuters

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    * COP up 0.3%, interest rate to not be discussed by c.bank
    * Real rises as govt agrees to Court's debt payment plan
    * Buenos Aires to revamp $7 bln in foreign debt 

 (Adds details, updates prices)
    By Susan Mathew and Ambar Warrick
    Aug 30 (Reuters) - Colombia's peso rose ahead of a central
bank meeting on Monday, while Argentine stocks surged to record
highs after the country's largest province, Buenos Aires,
finally sealed a deal to revamp some $7 billion in foreign debt.
    The peso rose as much as 0.8%. The bank is not seen
discussing rates at this meeting, Citi strategists said, adding
that they will be looking for talks around the International
Monetary Fund's special drawing rights, which corresponds to
around $2.8 billion for Colombia. 
    "While the government has expressed willingness to use the
funds for fiscal purposes, their use will depend on the board's
    Meanwhile, former finance minister Alberto Carrasquilla, who
resigned earlier this year after a botched tax reform proposal,
was appointed to Colombia's central bank board. Citi does not
expect this change to "greatly alter the board's voting
    The currency is up almost 2% this month after losing more
than 4% over the last two months. 
    Argentine stocks surged more than 3%, with the deal
coming after more than a year of tense talks and fears of an
extended default.
    The South American country's national government
restructured over $100 billion in foreign currency debt last
year after its ninth sovereign default, and is in talks with the
International Monetary Fund to revamp $45 billion in payments.
    Stock bourses elsewhere in Latam made healthy gains, putting
MSCI's index of Latam shares in positive
    Latam currencies followed broader emerging market peers into
the black as U.S. Federal Reserve Chair Jerome Powell's dovish
stance at the Jackson Hole symposium kept risk appetite buoyed,
denting the dollar.
    But rising COVID-19 cases across the globe, particularly in
parts of Asia and Latin America, weighed on sentiment and capped
any large gains.
    Mexico's peso and Chile's peso both trimmed
early gains.
     Brazil's real rose 0.2% after outpacing its emerging
market peers last week, as the government agreed to Supreme
Court proposals that will help keep fiscal spending in check.

    Still, data showed the government posted a
bigger-than-expected budget deficit in July.
    Sao Paulo listed stocks fell 0.6% after posting
their best week in 12 on Friday. Financial and industrial stocks
led losses.
    In Peru, the sol slipped slightly after Congress on
Friday confirmed a new leftist Cabinet nominated by President
Pedro Castillo, allowing the fledging administration to continue
an agenda focused on higher social spending coupled with higher
taxes for the mining industry.
    Key Latin American stock indexes and currencies:
                              Latest       Daily % change
 MSCI Emerging Markets         1285.40                     1
 MSCI LatAm                    2496.32                  0.29
 Brazil Bovespa              119925.54                 -0.62
 Mexico IPC                   52535.31                  0.21
 Chile IPSA                    4498.74                  0.89
 Argentina MerVal             75941.02                 3.739
 Colombia COLCAP               1321.67                 -0.29 Currencies             Latest       Daily % change
 Brazil real                    5.1839                  0.22
 Mexico peso                   20.1266                  0.32
 Chile peso                      781.8                  0.07
 Colombia peso                 3812.65                  0.32
 Peru sol                       4.0694                 -0.08
 Argentina peso                97.7000                 -0.13
 (Reporting by Susan Mathew and Ambar Warrick in Bengaluru;
Editing by Andrea Ricci and Chizu Nomiyama)

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