SANTIAGO, Sept 7 (Reuters) – Most Latin American currency and stock markets fell on Thursday on a rebound in the dollar, with investors’ attention turning to US data for clues about the direction of Federal Reserve monetary policy.
* The dollar rose, taking the yen to a 10-month low and the euro and sterling to three-month lows, as investors continued to anticipate a stronger-than-expected raft of data robust US economy.
* Earlier on Thursday, government data suggested that the number of Americans filing for the first time fell unexpectedly to a low since February last week, suggesting the labor market remains relatively tight, despite other recent data indicate that this has begun to relax.
* Initial jobless claims fell to 216,000 in the week ended September 2, from a revised 229,000 the week before, the Labor Department said on Thursday.
* The Mexican peso traded near the close at 17.5849 units per dollar, down 0.18% from Wednesday’s Reuters reference price after giving up early gains.
* “Following today’s inflation data, the currency saw a slight gain as core inflation dipped below 6% for the first time since December 2021,” Actinver said in an analytical note.
* The main S&P/BMV IPC index in Mexico fell 0.91% to 52,488.58 units after the release of figures in the United States that reignited fears that interest rates would stay high for longer.
* Mexico’s year-on-year inflation slowed for the seventh straight month in August, hitting its lowest level since 2021 but remaining above the official target, bolstering prospects that the central bank will keep interest rates at their all-time highs.
* In Argentina, the peso traded at 350.05 per dollar at the rate set by the central bank until the October presidential election, while the Merval stock index fell 6.15% to 458,015.12 units amid an acceleration on profit-taking because of the political and economic fragility the country is suffering from.
* Market participants agree that savers are cautious about their trades given October’s presidential election, which will result in portfolio dollarization, and the slowing macro-economy with high inflation and currency depreciation.
* The Chilean peso fell 1.5% to 885.50/885.80 per dollar under pressure, also on the back of a drop in the price of copper, the country’s main export. Meanwhile, the Santiago Stock Exchange’s leading index, the IPSA, fell 0.33% to 5,885.97 units.
* Copper prices fell to their lowest level in more than two weeks after soaring inventories and weak imports from China highlighted concerns over sluggish demand.
* The Colombian peso fell 1.41% to 4,018.88 units per dollar and on the stock market, the benchmark MSCI COLCAP index rose 1.58% to 1,063.29 points.
* The Peruvian currency, the sol, depreciated 0.11% to 3.708/3.711 units per dollar. Meanwhile, the Lima Stock Exchange benchmark fell 0.91% to 587.93 points.
* Brazil’s markets remained closed on Thursday to commemorate Independence Day.