EMERGING MARKETS-Latam stocks rise after US consumer data

* MSCI Latin American index gains 0.8 percent

* Mexican stocks gain 0.6 pct, Bovespa rises 0.9 pct

* Chile’s IPSA up after Chilean jobless rates fall

By Caroline Stauffer and Luciana Lopez

MEXICO CITY/SAO PAULO, Aug 31 (BestGrowthStock) – Latin American
stocks rose on Tuesday following improved U.S. consumer
confidence data, relieving regional markets that are key
exporters to the United States.

The MSCI Latin American stocks index (.MILA00000PUS: )
climbed 0.8 percent to 31,581. The regional benchmark is still
down 5 percent from the beginning of the month.

Mexico’s IPC index (.MXX: ) gained 0.64 percent, cheered by
the rise in confidence and better-than-expected home prices in
the United States, Mexico’s most important trading partner.

The U.S. home price index increased 0.3 percent in June
from May. Consumer confidence, meanwhile, rose to 53.5 in
August from 51 in July. [ID:nN31237504]

“Everyone has been incredibly pessimistic, and the data
gave the market some breathing room,” said Manuel Lasa, head of
stock trading at Interacciones brokerage in Mexico City.

Shares in retailer Wal-Mart de Mexico (WALMEXV.MX: ) led
gains, rising 1.6 percent. Telecom giant America Movil
(AMXL.MX: ), rose 0.69 percent.

Mexico’s government marked a key victory in its high-stakes
war on drug cartels yesterday with the capture of major
trafficker Edgar “La Barbie” Valdez.

The arrest came as some analysts noted in research reports
that spiraling drug violence could start affecting Mexico’s
currency and markets. [ID:nN30203703]

“That was good news,” said Lasa, of Valdez’s arrest near
Mexico City. “Security concerns could affect investor
perception over the long term, but the effects on businesses
and the Mexican economy aren’t clear yet,” he added.

Brazil’s benchmark Bovespa (.BVSP: ) index gained 0.9
percent, in line with a rise in regional markets after the U.S.
data even though industrial production numbers in Brazil rose
far less than the consensus Reuters forecast had predicted.

State-controlled energy company Petrobras (PETR4.SA: ) gained
1.73 percent, recovering from sharp losses on Monday sparked by
concerns over the price of oil set in an oil-for-shares swap

Chilean stocks rose 0.35 percent, boosted by a
lower-than-expected jobless rate for the May-July period and
positive corporate results from several companies.

“We’re seeing the Chilean bourse fairly stable, in line
with global markets, and we’re also seeing increases for those
companies which have reported results,” said Jorge Khedy, an
analyst with BCI brokerage in Santiago. [ID:nN31239951]

Banco Santander (STG.SN: ) led gains in Chile’s IPSA index
(.IPSA: ), the third largest stock exchange in the region, rising
1.64 percent. Retail giant La Polar (LAP.SN: ) rose 2.5 percent
(Reporting by Caroline Stauffer in Mexico City, Molly Rosbach
in Santiago and Luciana Lopez in Sao Paulo)
(Editing by Todd Eastham)

EMERGING MARKETS-Latam stocks rise after US consumer data