EMERGING MARKETS-Latam FX firm; Mexico's Televisa rockets on Univision merger plans

  • 4/14/2021
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* Televisa soars over 30%, set for best day ever * Mexican shares jump over 1%, peso hits two-month high * Brazil Senate launches probe into handling of COVID-19 outbreak By Susan Mathew April 14 (Reuters) - Latin American currencies followed broader emerging market peers into the black on Wednesday as the dollar slipped on falling U.S. Treasury yields, while broadcaster Grupo Televisa"s surge lifted Mexico"s main stock index more than 1%. Brazil"s real rose 0.6%, erasing early losses of up to 0.3%. The Senate on Tuesday launched a probe into the handling of one of the world"s worst coronavirus outbreaks. In practice, the inquiry is a political headache for President Jair Bolsonaro, who is already facing record disapproval amid Brazil"s worst coronavirus wave. The Pan American Health Organization (PAHO) last week said South America is now the most worrying region for COVID-19 infections, as cases mount in nearly every country. Chile closed its borders and tightened an already strict lockdown further earlier this month to slow the spread of the coronavirus as the number of cases climbed past 1 million despite one of the world"s fastest vaccination rates. "The recent experience of Chile suggests that it will be a long slog for many EMs to reach the stage at which they can lift lockdown measures significantly and without risking fresh outbreaks," said William Jackson, Capital Economics" chief emerging markets economist. On the day, as copper prices rose, Chile"s peso led gains among regional peers, up 0.2%. Meanwhile, Brazil"s central bank is likely to raise interest rates by 75 basis points for a second time to 3.50% at its next meeting in early May, central bank chief Roberto Campos Neto said on Tuesday in an interview with Bloomberg TV, but added that the economy still needed stimulative policy. TELEVISA BONANZA Shares of Televisa soared up to 32%, set for their best day ever, after Mexico"s largest broadcaster said on Tuesday that it would combine content with U.S. broadcaster Univision for the creation of a new Spanish-language media company with plans to launch a global streaming platform. Mexican President Andres Manuel Lopez Obrador on Wednesday hailed Televisa"s plans and said the operation would yield several billion pesos in taxes. Televisa shares hit their highest in more than two years, taking Mexico"s IPC index up 1.3% for its best session in over a week. Mexico"s peso rose 0.1% to hit a two-month high. Among other regional stocks, Brazil"s Bovespa index was lifted by oil and commodity-linked stocks. Key Latin American stock indexes and currencies at 1408 GMT: Stock indexes Latest Daily % change MSCI Emerging Markets 1337.74 1.04 MSCI LatAm 2361.79 1.19 Brazil Bovespa 120052.30 0.63 Mexico IPC 48102.35 1.26 Chile IPSA 4899.96 -0.04 Argentina MerVal - - Colombia COLCAP 1317.35 0.37 Currencies Latest Daily % change Brazil real 5.6826 0.61 Mexico peso 20.0580 0.13 Chile peso 706.3 0.17 Colombia peso 3663.38 0.10 Peru sol 3.6168 0.30 Argentina peso 92.6700 -0.04 (interbank)

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