LatAm Assets Mixed as US-Iran Peace Talks Weigh
US-Iran Peace Talks Impact Latin American Markets
Latin American assets were mixed on Wednesday as conflicting headlines about US-Iran negotiations to end the Middle East conflict kept investors cautious. Oil prices fell over 4% after Iranian state TV reported a draft agreement, but the White House denied the claim.
Colombia in Focus Ahead of Vote
Colombia's peso strengthened 1.1% against the dollar, while the stock index slipped 1.9%. The presidential election on Sunday is a tight race between leftist Ivan Cepeda and right-wing candidate Abelardo De La Espriella.
Brazil Inflation Exceeds Target
Brazil's 12-month inflation rose above the central bank's target range for the first time since October 2025, raising doubts about further rate cuts. The real weakened 0.4%.
Mexico Engages in USMCA Talks
Mexico began negotiations with the US to revamp the USMCA trade agreement. The peso fell 0.4%, while the stock index gained 1.4%.
Chile and Argentina See Gains
Chile's equities rose 1.6%, boosted by a 4% jump in lithium producer SQM after strong Q1 earnings. Argentina's Merval index climbed 4.8% as opposition leaders seek an alliance amid President Milei's declining popularity.
Impacted Symbols
Symbols affected by this headline and their sentiment signals
Bovespa Index
Bovespa index fell 0.3% due to inflation data and political uncertainties.
Colombia's main stock index fell 1.9% due to election uncertainty and political risks.
US Dollar/Mexican Peso
Mexican peso weakened 0.4% due to uncertainties in USMCA negotiations.
U.S. DOLLAR / ARGENTINE PESO
Argentine peso was largely flat despite political developments; direct impact limited.
News on US-Iran peace talks directly impacted oil prices, with Brent crude falling over 4%.
U.S. DOLLAR / COLOMBIAN PESO
Colombian peso strengthened 1.1% against the USD ahead of presidential elections, driven by expectations of a right-wing victory.
U.S. DOLLAR / BRAZILIAN REAL
Brazil's inflation exceeding the target and reduced rate cut expectations weakened the real.
S&P/BMV IPC Index
Mexico IPC index rose 1.4% to a two-week high despite USMCA negotiations.
S&P IPSA Index
Chile's IPSA index rose 1.6% driven by SQM's strong Q1 profit.
SQM rose 4% after reporting higher Q1 profit and revenue, boosting the broader market.
S&P MERVAL Index
Argentina's Merval index climbed 4.8% to a more than one-month high despite opposition alliance efforts.
U.S. DOLLAR / CHILEAN PESO
Chilean peso was largely unchanged, not directly affected by the news.
U.S. DOLLAR / PERUVIAN SOL
Peruvian sol was unchanged, not impacted by the news.
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