Latin Day Ahead: Colombia’s GDP May Slow on Sliding Exports
Colombia’s economy probably expanded at the slowest pace since 2002 in the fourth quarter; Emerging- market stocks rose on higher commodity prices and optimism about U.S. efforts to safeguard the banking system; Crude oil prices will rise to $70 a barrel by the second half of 2009, a managing director at Glencore International AG said; Mexico’s surge in drug-related violence is being driven by an economic slump, according to Citigroup Inc.
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Colombia 4th-Quarter GDP May Slow as Exports, Industry Slide
Colombia’s economy probably expanded at the slowest pace since 2002 in the fourth quarter of last year as the deepening global recession curbed exports and stalled consumer spending.
Emerging-Market Stocks Advance, Headed for Record Monthly Gain
Emerging-market stocks rose, heading for the biggest monthly gain on record, on higher commodity prices and optimism U.S. efforts to safeguard the banking system will help revive economic growth.
Crude Oil to Rise to $70 in Second Half 2009, Glencore Says
Crude oil prices will rise to $70 a barrel by the second half of 2009 as OPEC supply cuts reduce global supplies, Mark Catton, a managing director at Glencore International AG, said today.
Mexico’s ‘Alarmist Headlines’ Hide GDP-Crime Link: Chart of Day
Mexico’s surge in drug-related violence is being driven by an economic slump and not because the country is a “failed state,” according to Citigroup Inc.
Cia. Paranaense de Energia (CPLE6 BS): The electricity company controlled by the state of Parana announced a June rate increase, leading Fator Corretora analyst Renato Pinto to maintain a “positive view” of the company. Copel rose 2.8 percent to 23.45 reais.
Distribucion y Servicio D&S SA (DYS CC): Wal-Mart Stores Inc. was scheduled to close yesterday a tender offer for the shares the company didn’t already own in Chile’s biggest grocer. D&S fell 1.5 percent to 226.6 pesos.
Fomento Economico Mexicano SAB (FEMSAUBD) : Shareholders of Latin America’s largest beverage provider approved the payment of 1.6 billion pesos ($112 million) in dividends. Femsa, as the company is known, fell 0.5 percent to 37.32 pesos.
Telmex Internacional SAB (TELINTL MM): The Latin American phone and cable-TV company controlled by billionaire Carlos Slim will propose a dividend of 17 centavos a share at a shareholder meeting on April 29, the company said yesterday. Telmex Internacional rose 3.4 percent to 6.98 pesos.
Sociedad Minera Cerro Verde SA (SMCV PE): Peru’s copper output fell 2.6 percent in February from a year earlier, the Energy and Mines Ministry said yesterday. Cerro Verde, Peru’s third-largest copper producer, rose 5.8 percent to $14.61.
LATIN AMERICAN MARKETS:
Brazil: Unemployment in Brazil’s six largest metropolitan areas rose to 9.1 percent in February from 8.2 percent in January, according to the median estimate of 27 economists in a Bloomberg News survey.
The national statistics agency will release its report at 8 a.m. New York time.
The real rose 0.1 percent to 2.2465 per dollar.
The yield on the zero-coupon, real-denominated bonds due in January 2010 dropped 10 basis points, or 0.1 percentage point, to 9.9 percent, according to Banco Votorantim.
Chile: The country doesn’t need financing from the International Monetary Fund because it has sufficient liquidity and international reserves, Central Bank President Jose De Gregorio said yesterday.
“Any multilateral initiative that helps emerging economies with financing problems is good for global financial health,” De Gregorio said in an e-mailed statement. “Thanks to our solvency levels, sovereign rating and international liquidity, Chile doesn’t need extraordinary funding.”
The peso gained 0.1 percent to 574.85 per dollar.
The yield for a basket of Chilean 10-year peso bonds in inflation-linked currency units, called unidades de fomento, fell 13 basis points to 2.48 percent, according to Bloomberg composite prices.
Other prices in Latin American markets:
Argentina: The peso fell 0.1 percent to 3.6885 per dollar.
The yield on the country’s 5.83 percent dollar bonds due in December 2033 climbed 74 basis points to 26.23 percent, according to Citigroup Inc.’s local unit.
Colombia: The peso slid 2 percent to 2,414.30 per dollar.
The yield on Colombia’s 11 percent bonds due in July 2020 increased eight basis points to 9.65 percent, according to Colombia’s stock exchange.
Mexico: The peso rose 0.5 percent to 14.2821 per dollar.
The yield on the country’s 10 percent bond due December 2024 declined 12 basis points to 8.04 percent, according to Banco Santander SA.
Peru: The sol was little changed at 3.1345 per dollar.
The yield on the country’s 8.6 percent bond maturing in August 2017 was little changed at 6.32 percent, according to Citigroup prices.
ECONOMIES: Brazil will publish March consumer confidence, its February unemployment rate, total outstanding loans, private bank lending and the long-term lending rate; Colombia will publish fourth-quarter gross domestic product.
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