UPDATE 3-Peru stocks down over 3 pct after nationalist win

* Currency weakens slightly, debt insurance cost rises

* Shares in Peruvian mining stocks fall in New York
(Updates poll numbers, prices, adds commentary)

LIMA, April 11 (Reuters) -Peru’s benchmark stock index
(.IGRA: Quote, Profile, Research) fell more than 3 percent on Monday after left-wing
nationalist Ollanta Humala won the first round of Peru’s
presidential election. The currency only weakened slightly.

With 80 percent of Sunday’s ballots counted, officials said
Humala had 30.5 percent of the vote and looks set to face
right-wing lawmaker Keiko Fujimori in a June 5 run-off.

Fujimori had 23.1 percent, ahead of former Wall Street
banker Pedro Pablo Kuczynski at 20.1 percent. [ID:nN11267668]

Mining stocks account for more than half of the weighting
of the IGRA index. Humala has pledged to hike mining taxes,
while Fujimori has said she would tax windfall profits.

“Their methods (on taxes) are distinct – one (Humala) is
more radical, while the other (Fujimori) is looking for
dialogue,” said one trader in Lima who asked not to be

In New York, American Depositary Receipts of miners
Buenaventura (BVN.N: Quote, Profile, Research) and Southern Copper (SCCO.N: Quote, Profile, Research) were down 3.2
percent and 2.2 percent respectively.

The cost of annually insuring Peruvian debt (PEGV5YUSAC=: Quote, Profile, Research)
over five years rose 5 basis points to 135 bps, according to

Commenting on the modest rise, Markit Credit Research
Director Otis Casey said: “It seems that political observers
there are still expecting the center-right candidate, Fujimori,
to win a run-off over Humala with the other vote getters
rallying around Fujimori but there is some undercurrent of
doubt now.”

The sol (PEN=PE: Quote, Profile, Research) weakened 0.1 percent to trade at 2.8 per

“With the run-off too close to call, the markets will be in
for a rollercoaster ride over the coming weeks,” Capital
Econ1omics wrote in a report.
(Reporting by Ursula Scollo and Caroline Stauffer; Editing by
Andrew Hay)

UPDATE 3-Peru stocks down over 3 pct after nationalist win