Chile economy slows slightly, but consumption, jobs firm

SANTIAGO (Reuters) - Chile's economy showed signs it was continuing to slow slightly in November, with manufacturing output slipping for a fourth straight month, even as consumption and the labor market remained firm.

Cuba eases restrictions on loans to small businesses

The Cuban government has eased restrictions on loans to private borrowers in the latest measure aimed at boosting the island's troubled economy. Individuals and small businesses can now borrow smaller amounts and have more time to pay back the government.

Argentina says Oct economic activity up 3.2 pct yr/yr

BUENOS AIRES, Dec 27 (Reuters) - Argentina's economic activity grew 3.2 percent in October compared with the same month last year, the government said on Friday, a result that came in a bit below market expectations.

Brazil Braces for Tax Hikes

Taxes in Brazil will go up next year as the government looks to shore up its finances after much criticism from the investment community and the threat of a downgrade to the country’s sovereign credit rating.

Mexico exports rise in November, imports wobble

MEXICO CITY, Dec 26 (Reuters) - Mexican factory exports rose in November in a sign of strengthening U.S. demand, but non-oil consumer imports dipped, signaling a wobbly recovery in Latin America's second economy.

Argentine economy closing 2013 in trouble, with tough times looming for Cristina Fernandez

BUENOS AIRES, Argentina – President Cristina Fernandez has tried to reinvent her image since her return from skull surgery. She's put aside the all-black wardrobe she wore for three years mourning her late husband Nestor Kirchner, and reshuffled her Cabinet.

Mexico annual inflation rises to 6-month high in early Dec

MEXICO CITY, Dec 23 (Reuters) - Mexico's annual inflation picked up more than expected to a six-month high in early December on higher gasoline and tomato prices, but policymakers expect inflation to trend down next year.

Brazilian Unemployment Matches Record Low, but More Dropping Out of Work Force

Brazil’s unemployment rate matched a record low in November, but the seemingly positive figure hides an alarming change in Latin America’s largest economy: fewer Brazilians are working and even less are looking for work.

Lost Brazil order raises threat to Boeing fighter jet

WASHINGTON: Brazil's decision to buy Swedish fighter jets instead of F/A-18 Super Hornets from Boeing eliminates its most promising foreign-sales prospect just as the US company faces critical decisions about extending the jet's production line past 2016.

Slide in Argentina's growth points to weakening economy

BUENOS AIRES, Dec 20 (Reuters) - Argentina's growth slipped in the third quarter from the previous quarter, while a slew of other economic data on Friday were also weak, indicating that Latin America's third-largest economy may be slowing.

Brazil's jobless rate returns to record low; inflation rises

SAO PAULO, Dec 19 (Reuters) - Brazil's jobless rate returned to record lows in November, and inflation accelerated, government data showed on Thursday, suggesting consumer spending remained steady despite several interest rate increases and a sharp economic slowdown.

Mexico to raise its Q1 2014 debt issuance level

Dec 19 (Reuters) - Mexico will boost the amount of debt it will issue in the first quarter of 2014, the finance ministry said on Thursday, as the government seeks to spend more to strengthen a nascent economic recovery in Latin America's No. 2 economy.

Mexico's president says he will enact energy reform soon

MEXICO CITY (Reuters) - President Enrique Pena Nieto said on Monday he would soon enact a sweeping overhaul of Mexico's ailing energy sector which is aimed at boosting growth in Latin America's No. 2 economy.

Brazil Economists Reduce Growth Outlook for This Year and Next

Economists covering Brazil cut their economic growth forecasts for a second straight week, as domestic demand shows signs of weakening, according to a central bank survey.

Chilean Voters Return a Former President to Power

SANTIAGO, Chile — Chilean voters handed a landslide victory to Michelle Bachelet on Sunday, returning her to the presidency amid continuing unease over high levels of inequality in Chile despite an enviable stretch of rapid economic growth.

Brazil economic activity picks up, signals better 4th quarter

BRASILIA, Dec 13 (Reuters) - Economic activity in Brazil rose more than expected in October despite a slowdown in retail sales, official data showed on Friday, suggesting a slight recovery after Latin America's top economy contracted in the third quarter.

Mexico's Senate backs reform to break oil monopoly

Mexico City (AFP) - Mexico's Senate approved controversial legislation Wednesday to open the state-controlled energy sector to foreign investment and break the 75-year-old oil monopoly.

Global demand to boost Latam economic growth in 2014 -UN

SANTIAGO (Reuters) - Growth in the economies of Latin America and the Caribbean is expected to gather pace next year, as a more favorable global outlook boosts demand for its exports, the United Nations economic body for Latin America said.

Colombia Rating Boosted by Fitch on Debt Load, Growth Outlook

Colombia’s credit rating was increased one step to the second-lowest investment grade by Fitch Ratings, which cited the country’s manageable debt load, policy stability and growth outlook.

Mexico Senate committees near vote on bold energy reform

MEXICO CITY (Reuters) - Mexican Senate committees on Monday resume debate of an energy bill that would open up the world's No. 10 oil producer to private investment by allowing lucrative contracts in the sector's most dramatic revamp in 75 years.

Argentina-Brazil patch up on trade, look to Europe deal

BUENOS AIRES (Reuters) - Argentina's recent Cabinet shuffle has smoothed trade friction between South America's two largest economies and clears the way for a united proposal for free trade with the European Union, Brazilian Trade Minister Fernando Pimentel said on Thursday.

Latin American Bloc Stalls WTO Bali Trade Talks

The World Trade Organization temporarily suspended discussions aimed at a global update of trading rules after opposition from a group of Latin American nations led by Cuba.

Mexico’s Peso Leads Weekly Gains in Latin America on Energy Bill

Mexico’s peso advanced, heading for the biggest weekly gain in Latin America, as lawmakers from the country’s two largest political parties signaled they are almost finished drafting a bill to overhaul the energy industry.

Argentina Said to Seek $17 Billion From Russia to China for Dams

Argentina’s Planning Minister Julio De Vido is flying to Russia and China to seek investors for 14 infrastructure projects to be auctioned next year for a total of $17 billion, two people with knowledge of the situation said.

Brazil Swap Rates Drop Before Central Bank Minutes; Real Gains

Brazil’s swap rates declined on speculation policy makers will signal a slowdown in the pace of borrowing cost increases in minutes of their November policy meeting scheduled to be published tomorrow.

Brazil's economy shrinks for first time since 2009

SAO PAULO, Dec 3 (Reuters) - Brazil's economy contracted in the third quarter for the first time since early 2009, falling short of expectations yet again as plunging investment underscored eroding confidence in what was recently one of the world's most promising emerging markets.

Mexico Peso Implied Volatility Increases on Fed Stimulus Concern

Mexican peso implied volatility rose to a two-week high as an acceleration in U.S. manufacturing stoked concern the Federal Reserve will cut a stimulus program that has buoyed the Latin American country’s securities.

Venezuelan oil diplomacy curbed by economic crisis

CARACAS, Venezuela (AP) — The late President Hugo Chavez's dream of leveraging Venezuela's oil wealth to spread revolution across Latin America is crumbling under the weight of an economic crisis that is forcing his hand-picked successor to cut back on generous foreign aid.

Mexico's Booming Car Industry Selling Unsafe Cars

RAMOS ARIZPE, Mexico (AP) — In Mexico's booming auto industry, the cars rolling off assembly lines may look identical, but how safe they are depends on where they're headed.

Colombia Holds Key Rate at 3.25% as Consumer Spending Cools

Colombia held borrowing costs at the lowest level in Latin America for an eighth straight month as consumer spending growth cooled and inflation unexpectedly slowed below the lower band of its target range.

Mexican Senate Passes Lending Bill Aimed at Spurrning GDP Growth

Mexico’s Senate approved a bill that seeks to boost bank lending as part of a government effort to revive economic growth in Latin America’s second-biggest economy.

Brazil Extending World’s Biggest Rate Rise to Regain Credibility

Brazil’s central bank probably will raise the benchmark interest rate for a sixth straight meeting in an effort to convince investors that policy makers are serious about slowing inflation back to its target.

Secondary laws for Mexico telecoms overhaul to be delayed: lawmakers

(Reuters) - Legislation to implement a major overhaul of Mexico's telecommunications industry will not be approved until early next year, pushing back a deadline set for December, two senior lawmakers said on Saturday.

Brazil Economists Raise 2014 Selic Forecast to Highest All Year

Brazil economists raised their 2014 key rate forecast to the highest level all year as a weakening currency complicates efforts to slow inflation.

Peru’s GDP Expands at Slowest Pace Since 2009 in Third Quarter

Peru’s economic growth decelerated in the third quarter as an export slump damped private investment.

Mexico inflation up more than expected in early November

MEXICO CITY, Nov 22 (Reuters) - Mexican inflation picked up faster than expected in early November on a seasonal spike in electricity costs, but tame core price pressures point to steady interest rates well into next year.

UPDATE 3-Brazil October jobless rate hits lowest in 10 months

SAO PAULO, Nov 21 (Reuters) - Brazil's jobless rate in October dropped to its lowest level this year as employment growth outpaced a marginal increase in the number of job seekers.

Mexico GDP Rose More Than Forecast Amid Rate Reductions

Mexico’s gross domestic product expanded more than analysts forecast in the third quarter as manufacturing rebounded, supporting the central bank’s view that the economy can recover without additional interest-rate cuts.

Venezuela’s Maduro Secures Powers to Rule Without Congress

Venezuela’s President Nicolas Maduro received authority to pass economic laws without congressional approval, a move the opposition says will increase the harassment of businesses and attacks on political rivals ahead of local elections.

Argentina's Kirchner back at helm in cabinet reshuffle

Buenos Aires (AFP) - Argentina's President Cristina Kirchner was back at work Monday after a six-week medical leave, and promptly chose a new economy minister.

Argentina September economic activity beats expectations

BUENOS AIRES, Nov 15 (Reuters) - Argentina's economic activity grew 4.7 percent in September compared with the same month last year, the government said on Friday, exceeding market expectations.

Petrobras sells Peru unit to PetroChina/CNPC for $2.6 billion

(Reuters) - Brazil's state-run oil company Petrobras (PETR4.SA) has struck a deal to sell its Peruvian oil and gas assets to PetroChina (0857.HK), China's top oil and gas firm, and its parent China National Petroleum Corp (CNPC) for $2.6 billion.

Argentina Said to Win Lagarde Reprieve on Data Sanctions

Argentina, the first International Monetary Fund member to be censured for misreporting economic data, would escape sanctions by the lender under a recommendation by Managing Director Christine Lagarde, according to two IMF board officials.

Porsche 911s at 39% Off Sparks Argentina Sales Crackdown

By exploiting Argentina’s illegal currency market, buyers are extracting 39 percent discounts on luxury imports such as the Porsche 911 Carrera S sports car and creating the biggest foreign auto boom in five years.

Investor Insight: Can President Maduro Right Venezuela's Economy?

A former bus driver once responsible for navigating Venezuela’s complex web of roads, the country’s current president, Nicolas Maduro, now faces the more difficult task of steering the country’s economy.

Brazil’s Vale Plans to Sell Up to 22% of Norsk Hydro

Vale SA (VALE), the Brazilian iron-ore producer seeking asset divestments to cut costs and boost profit, plans to sell as much as a 22 percent stake in aluminum-maker Norsk Hydro ASA (NHY) valued at about $1.8 billion.

Latin America hopes to ride out slow U.S. growth

RIO DE JANEIRO, Nov. 8 (UPI) -- Latin America hopes to ride out slow growth and U.S. monetary issues on the strength of its own increased economic activity, Fitch rating agency data indicate.

Peru's central bank sees gloomier economic growth

LIMA, Nov 8 (Reuters) - Peru's central bank said on Friday it was lowering its 2013 economic growth forecast for the second time in less than 2 months to around 5.2 or 5.3 percent from 5.5 percent, in line with estimates by analysts and banks.

This region to see highest wage growth next year

Wages are set to rise around 6 percent on average globally next year, with the rate of increase virtually unchanged from 2013, according to a new survey.

Mexico central bank cuts 2013, 2014 growth outlook

MEXICO CITY, Nov 6 (Reuters) - Mexico's central bank on Wednesday cut its growth outlook for this year and next after a sharp economic slowdown but reaffirmed its view that no more rate cuts are advisable because it eyes a rebound.

Brazil's services sector surges in October - PMI

SAO PAULO, Nov 5 (Reuters) - Activity in Brazil's services sector surged to an eight-month high in October, a closely watched business survey showed on Tuesday, adding to hopes for a fourth-quarter rebound in Latin America's largest economy.

Chile’s Economy Contracted by Most in Seven Months in September

Chile’s economy contracted at the fastest pace in seven months in September, the month before the central bank voted unanimously to cut interest rates, according to the minutes of its Oct. 17 meeting.

Mexico Peso Implied Volatility Falls on Fed Outlook; Yields Drop

The Mexican peso’s implied volatility dropped from a three-week high as investors speculated over when the U.S. Federal Reserve will slow bond purchases that have fueled demand for the Latin American country’s local-currency debt.

Brazil Pledges 20% Cut in State Bank Lending to Narrow Deficit

Brazil plans to reduce lending by its development bank by about 20 percent next year to shore up finances after a wider-than-expected September deficit fueled speculation the nation’s credit rating may be cut.

Ecuador's economy grew 3.5 pct in second quarter

QUITO, Nov 1 (Reuters) - Ecuador's economy grew 3.5 percent in the seacond quarter that ended in June vs the same period a year earlier, driven by expansion of construction, communications and oil sectors, the central bank said on Friday.

How to grow Latin America’s middle class

Demonstrations in Latin America show just how far societies have come, and how much further they must go to meet the expectations that come with rising incomes.

Brazil Posts Widest Federal Primary Budget Gap in Almost 5 Years

Brazil’s federal government posted the widest primary budget deficit in almost five years, a performance that Banco J. Safra says increases the probability the nations credit rating will be downgraded.

Mexican Senate approves plan to increase sales tax in border cities like Juarez

El Paso, TX (KTSM) — El Paso's economy might soon get a boost thanks to a decision made by the Mexican government.

Brazil Economists Forecast Steeper Economic Slowdown Next Year

Brazil economists cut their 2014 economic growth forecast to the lowest all year, as inflation pressured by a weaker real saps purchasing power in the world’s second-biggest emerging market.

Mexican Maquiladora Industry Cry Foul on New Taxes

Industry groups say President Enrique Pena Nieto's proposed tax overhaul, expected to pass the Senate late Tuesday or early Wednesday, could strangle one of Mexico's economic success stories, the border factories known as maquiladoras.

Latin America, Caribbean economies growing

Latin American economies are well placed to once more sustain relatively high growth rates and manage risks that could once again send their economies plummeting, said the director of the International Monetary Fund’s Western Hemisphere division.

Argentina's ailing president faces tough midterm congressional election

BUENOS AIRES (Reuters) - Argentine President Cristina Fernandez is expected to lose some of her congressional clout in Sunday's midterm election as the ailing leader faces complaints over galloping inflation and a weakening currency.

Mexican manufacturing exports dip in September

MEXICO CITY, Oct 25 (Reuters) - Mexican factory exports fell in September in a sign of slack U.S. demand while the pace of consumer imports picked up as Latin America's No. 2 economy struggles to gain speed after a weak first half this year.

Brazil needs reforms, policy predictability to grow faster - IMF

BRASILIA, Oct 23 (Reuters) - Brazil must take more decisive action to raise productivity and boost private investment if it is to restore robust growth to its once-booming economy, the International Monetary Fund said on Wednesday.

Cuba to scrap two-currency system in latest reform

Cuba is to scrap its two-currency system in the latest financial reform rolled out by President Raul Castro, official media report.

Brazil Oil Block Goes to Shell, Total, China Firms

A consortium including Shell, Total, two Chinese firms and Brazil's state-run petroleum company Petrobras won the right to develop an offshore field that could hold up to 12 billion barrels of oil, Brazil's government said Monday.

EMERGING MARKETS-Most Latam currencies down on U.S. data fears

RIO DE JANEIRO, Oct 21 (Reuters) - Most Latin American currencies weakened on Monday as investors grew anxious before the release of key U.S. unemployment data delayed by a 16-day partial government shutdown this month.

Argentina Settles $677 Million Arbitration Cases With Bonds

Argentina agreed to compensate five companies that won rulings over investment disputes as the nation looks for the World Bank to approve $3 billion in loans, sparking the biggest bond rally in emerging markets.

Rajoy Meets Latin America Leaders as Economy Shows Signs of Life

Spanish Prime Minister Mariano Rajoy meets with Latin American leaders today in Panama, where Madrid-based companies are helping expand the canal and build the nation’s first subway as construction slumps at home.

Mexico peso rally could spur bigger interest rate cut

MEXICO CITY, Oct 17 (Reuters) - Mexico's central bank could lower borrowing costs by more than expected next week if the country's currency keeps gaining ground and undercuts the stimulus policymakers delivered to a weak economy with last month's cut.

Brazil retail sales surprisingly strong again in August

SAO PAULO, Oct 15 (Reuters) - Brazilian retail sales jumped unexpectedly again in August, as robust household spending helped carry Latin America's biggest economy through a rough third quarter.

Mexico Peso Falls as U.S. Debt Stalemate Stokes Growth Concern

Mexico’s peso fell for the first time in four days as speculation that U.S. lawmakers will miss a deadline to raise the nation’s debt limit rekindled concern that economic growth will slow in the country’s top export market.

Power-hungry Argentina mulls allowing crude oil imports: report

BUENOS AIRES (Reuters) - Argentina is studying authorizing crude imports from Nigeria to help counter a long decline in oil and natural gas output that has hurt its trade balance, two newspapers reported on Saturday, both citing an anonymous source with knowledge of the matter.

S&P to Brazil: Actions speak louder than words

WASHINGTON (Reuters) - The Brazilian government's more business-friendly tone needs to materialize into actions for Standard & Poor's to reconsider its negative outlook on Latin America's largest economy, a senior credit analyst for the agency told Reuters on Friday.

Argentina seeks settlements, dollars at World Bank

BUENOS AIRES, Argentina (AP) -- Argentina is promising to make good on $500 million in World Bank arbitration court rulings with a mix of new bonds instead of cash, and it's counting on getting billions of dollars in new loans in return.

Brazil Swap Rates Rise Before Central Bank Decision; Real Gains

Brazil’s swap rates climbed for the first time in a week as traders stepped up bets that the central bank will sustain the pace of increases in borrowing costs at a policy meeting today.

Mexico urges U.S. to reach deal on raising debt ceiling

MEXICO CITY, Oct 8 (Reuters) - Mexico's finance minister urged the United States on Tuesday to reach an agreement on raising its debt ceiling, saying a failure to do so could seriously damage financial markets and the global economy.

IMF cuts Latin America GDP forecast as Brazil, Mexico falter

RIO DE JANEIRO — The International Monetary Fund reduced its growth forecast for Latin America and the Caribbean as weaker commodity prices threaten to further sap strength from the region's two biggest economies.

Argentina Rejected by U.S. Court in Bond Payment Appeal

The U.S. Supreme Court left intact a ruling that may force Argentina to make payments on defaulted government bonds, rejecting that country’s appeal in a clash that has roiled its financial markets.

Brazil opposition leaders join forces against Rousseff

BRASILIA (Reuters) - Two of Brazil's most popular opposition leaders joined forces on Saturday in an unexpected alliance that shakes up next year's election and could pose a major challenge to President Dilma Rousseff at a time when the economy is sputtering.

Brazil Real Drops From Two-Week High as Moody’s Lowers Outlook

Brazil’s real declined from its highest level in two weeks after Moody’s Investors Service cited rising debt and weak growth in lowering its outlook on the nation’s credit rating to stable from positive.

U.S. defends diplomats expelled from Venezuela

CARACAS (Reuters) - The U.S. Embassy in Venezuela on Tuesday defended three diplomats expelled by President Nicolas Maduro, rejecting charges they were involved in espionage and accusations Washington is trying to destabilize the OPEC nation.

Brazil services sector rebounds in September -PM

SAO PAULO, Oct 3 (Reuters) - Activity in Brazil's service sector rebounded in September, a closely watched business survey showed on Thursday, further evidence that Brazil's economy may have avoided a contraction in the third quarter.

Maersk bullish on Latin America, eyes Mexico's deep water oil

MEXICO CITY (Reuters) - Danish oil and shipping group A.P. Moller-Maersk sees big investment potential in Latin America, including deep water oil projects and ports in Mexico, its chief executive said on Tuesday.

Chile Central Bank Signals Possible Rate Cuts Before Year-End

Chilean central bank President Rodrigo Vergara said policy makers don’t have to wait for a slowdown in consumer spending before cutting rates, a day after a report showed retail sales soaring.

Latin America most vulnerable to higher U.S. rates-IMF

WASHINGTON, Sept 30 (Reuters) - Latin America is likely to suffer most if U.S. interest rates rise more quickly than economic conditions merit, the International Monetary Fund said on Monday.

Mexico floods will not affect proposed 2013, 2014 budget deficits -government

MEXICO CITY (Reuters) - Mexico's proposed budget deficit goals for this year and 2014 will not be affected by some of the worst storm damage in decades, the Finance Ministry said on Saturday.

Serial Defaulter Burnishes Taper-Proof Status: Argentina Credit

Argentina is enriching debt investors with returns that are nine times the average in emerging markets this quarter, underscoring the nation’s status as a haven against Federal Reserve policies that have whipsawed developing-nation bondholders.

Audi’s Return Shows Bet That Leases Spur Sales: Corporate Brazil

Carmakers in Brazil are anticipating leases will spur demand for new models as a tax incentive expires and companies such as Audi AG (NSU) start local production in Latin America’s biggest economy.

Mexico to escape recession after floods, but risks to growth rise: Reuters poll

MEXICO CITY (Reuters) - Mexico is unlikely to be dragged into recession by severe flooding that has laid waste to large areas of farmland, destroyed homes and killed dozens of people, but the flooding has increased risk, a Reuters poll showed on Wednesday.

Brazil's Economy to Grow 2.4% in 2013, Industry Group Says

BRASILIA--Brazil's economy should grow about 2.4% this year after growth of 0.9% in 2012, the country's National Confederation of Industries, or CNI, said Wednesday.

In Latin America, Brazilian Banks Fill Void Left by Global Giants

SÃO PAULO, Brazil — The erratic performance in Latin American markets in recent months is leading some global banks to shy away from volatile regions and rethink their strategies. But for investment bankers based here, their home market is a growth market.

Mexico: Emerging market opportunity next door?

Have global investors been missing the emerging market right next door?

Brazil Payrolls Reach New Record High for August

BRASILIA--Brazil's payrolls rose in August and reached new record for the month, the country's Labor Ministry reported Friday According to the Labor Ministry, Brazil's economy created 127,648 new jobs in August.

Argentine GDP Surged More-Than-Expected 8.3% in Quarter

Argentina’s economy expanded at the fastest pace in about two years last quarter, boosting the chances that holders of securities linked to the country’s growth will be paid as much as $3 billion next year.

Brazil Finance Minister: Fed Has Indicated Stimulus Withdrawal Will Be Slow

SAO PAULO--The U.S. Federal Reserve has signaled that it will take a very gradual approach to withdrawing monetary stimulus, which means there will be less impact on emerging markets, Brazil's finance minister, Guido Mantega, said Wednesday.

AP Interview: Paraguay's new president wants taxes

ASUNCION, Paraguay (AP) — As one of the richest men in one of Latin America's poorest countries, Paraguay's new president says he knows the wealthy can do more to combat poverty, starting with landowners like him who can afford to pay taxes on the soy profits that are fueling a booming economy.

Mexico’s Peso Surges as Fed Stimulus Bolsters Bonds and Stocks

Mexico’s peso surged to a one-month high as the Federal Reserve refrained from paring the $85 billion pace of monthly bond buying, a stimulus program that’s fueled demand for the Latin American nation’s securities.

New US ambassador arrives in Brazil amid tensions

BRASILIA, Brazil (AP) — The new U.S. ambassador to Brazil landed in the capital Monday amid increasing tensions over a U.S. spy program that aggressively targets Latin America's biggest nation, reportedly including the personal communications of its president.

Brazil Cools on Nuclear Power Plans; Favors Wind

RIO DE JANEIRO (Reuters) - Brazil will probably scale down its plans for new nuclear plants due to safety concerns following the 2011 radiation leak in Japan and pick up some of the slack with a "revolution" in wind power, the head of the government's energy planning agency said.

Mexico's government willing to revise tax plan seen hitting middle class

(Reuters) - The Mexican government said on Wednesday it was open to exploring alternatives to some of the more divisive proposals in a newly unveiled tax overhaul, faced with a growing chorus of resistance to measures that critics say hurt the middle class.

Chile Says Cuts Are Possible as Peru Keeps Key Rate Unchanged

Chile and Peru kept their key interest rates unchanged yesterday as the Andean neighbors weigh whether new stimulus measures are needed to stave off an economic deceleration.

Brazil's early highway infrastructure push suffers setback

BRASILIA (Reuters) - Brazil's early attempt at a badly needed expansion of its highway infrastructure sustained a serious setback on Friday when the government said one of two road concessions up for auction next week got no bids from investors.

JPMorgan: Bullish On Latin America, Ultra Bullish On Mexico's Energy Reform

Investors have shunned Latin America as concerns over Fed tapering absorbed capital flows that had flown out, chasing yield, during previous rounds of quantitative easing.

Analysis: Brazil may be spending its way towards a downgrade

SAO PAULO (Reuters) - Brazil's finances are set to deteriorate substantially next year, leaving the government with few options to revive a sputtering economy and raising the threat of a credit downgrade.

Report: US spied on Brazil's Petrobras, Google

RIO DE JANEIRO (AP) -- Documents leaked by Edward Snowden indicate the National Security Agency spied on Brazil's state-run oil company, the private computer networks of Google and a company that facilitates most of the world's international bank transfers, a Brazilian TV report says.

Mexican Consumer Prices Rise Less Than Expected on Farm Costs

Mexican consumer prices rose less than expected in August amid muted increases in farm costs, with the annual inflation rate dropping to the lowest level since January.

Argentina's Central Bank Sees Economy Growing 4% in 2013

BUENOS AIRES--Argentina's economy will likely grow about 4% this year, the country's central bank president said Thursday.

Brazil Inflation Accelerates in August, As Expected

RIO DE JANEIRO--Inflation in Brazil picked up as expected in August in the first signs that the depreciation of the real versus the U.S. dollar is hitting prices in Latin America's largest economy.

Andres Oppenheimer: Latin America falling in global index

The World Economic Forum’s ranking of competitiveness released this week confirms what many of us feared: Latin America is losing ground in the global economy and is doing very little about it.

The Global Competitiveness Report 2013-2014, probably the most comprehensive study on countries’ ability to compete internationally, measures, among other things, each nations’ institutions, infrastructure, business climate, education, technological readiness and innovation. Switzerland tops the list of 148 countries as it did last year.

It’s followed by Singapore, Finland, Germany, the United States, Sweden, Hong Kong, the Netherlands, Japan and the United Kingdom.

The Latin American country that ranks highest on the list is Chile (34) followed by Panama (40), Barbados (47), Costa Rica (54), Mexico (55) and Brazil (56). Further down on the list are Peru (61), Colombia (69), Ecuador (71), Uruguay (85), Guatemala (86), El Salvador (97), Bolivia (98), Nicaragua (99) and Argentina (104).

Near the bottom sit Venezuela (134) and Haiti (143) — ranked among the world’s most hopeless countries economically.

The report says that after a decade of steady economic improvement, thanks to rising commodity prices and sound macroeconomic policies, the tide is shifting. The latest data “show that most countries are stagnating in their competitiveness performance.”

Translation: The region is falling behind. “Urgent actions will be needed,” the report says. They include improving the functioning of institutions and the quality of education, technology and innovation.

“This will require a series of overdue reforms that have been repeatedly postponed,’’ according to the report. While Brazil and Mexico basically retained last year’s positions, Argentina, Uruguay and Venezuela suffered the biggest drops.

Argentina, where President Cristina Fernández de Kirchner last month bragged that her country’s economy is doing better than those of Australia and Canada, dropped 10 positions this year.

Incidentally, Canada ranks 14th in the WEF ranking, 90 places ahead of Argentina, and Australia ranks 21st — 83 places ahead of Argentina.) Even conflict-torn Algeria and Lebanon are more competitive than Argentina, the new ranking says.

Venezuela, in turn, dropped eight places from last year’s ranking, in line with a steady decline over the past decade. It now ranks alongside Uganda , Zimbabwe, Mozambique, Haiti and Chad as among the world’s least competitive countries.

Xavier Sala-i-Martin, a well-known economist at Columbia University and a leading author of the WEF Global Competitiveness Report, told me that “in Argentina and Venezuela, the problem is not just excessive state control of the economy, but bad state control of the economy.”

“Government decisions are not taken based on economic efficiency, but on political favoritism, and on punishment of those who don’t support the government,” he said. I asked him what the solution is. “There are many pending assignments, including infrastructure, and improving governance, but the key one is improving education,” he said.

“The biggest difference between Latin America and successful Asian countries such as Singapore, South Korea and China is the incredible emphasis that Asian countries have placed in improving educations standards.”

My opinion: The bad news is that, in the short run, the leaders of Argentina, Venezuela and other populist/corruption havens will most likely dismiss the new competitiveness ranking.

As they have done before, they will probably stick to their own cooked statistics and try to showcase their economies’ alleged resilience in the midst of a global crisis.

But economic reality has changed and is making their claims look increasingly ludicrous to their own people.

During the past 10 years, thanks to high world commodity prices, they gave away cash subsidies in exchange for votes, wasting their countries’ biggest opportunity in recent memory to invest in education, infrastructure, and other pillars for long term-growth.

Now world commodity prices are no longer rising, and they can’t keep pretending that their countries are doing well. In oil-rich Venezuela, the lights are going off. Of course, populist leaders will blame others — the United States, “the oligarchy,” etc. — for their self-inflicted problems.

But it will become increasingly apparent that countries that have saved during the good times to be able to invest in their long-term growth will do much better. Count Chile, Peru and Brazil among them.

The new Global Competitiveness Report should sound alarm bells throughout the region. The days of easy money are over. Now, it’s a matter of becoming more competitive and selling more, as well as selling more innovative goods, in global markets.

miamiherald.com

Mexican Peso Falls to One-Year Low on Federal Reserve Concern

Mexico’s peso declined to its lowest level in a year as U.S. manufacturing growth added to speculation that the Federal Reserve will curtail a stimulus program that has supported emerging-market assets.

Mexico's America Movil: Hybrid bond aims to help rating

(Reuters) - A three-part sterling and euro hybrid bond that Mexico's America Movil (AMXL.MX) announced on Monday is aimed at preserving the company's credit rating and not linked to any particular pending deals, according to Chief Financial Officer Carlos Garcia Moreno.

Brazil Economists Increases Expansion Forecasts -Survey

SAO PAULO--Brazilian economists and analysts increased their forecasts for the country's economic expansion this year after Latin America's largest nation posted a better-than-expected performance in the second quarter.

Sovereign Debt and Beyond: Toward a New Magna Carta?

Source: The Globalist

Alexander Mirtchev and Norman Bailey

The global debt burden appears to have gathered an unstoppable momentum, prompting divergent reactions. The world economy cannot count on growth to solve the global debt problem — and stimulus measures are not a sustainable solution. In the second installment in the series “The Search for a New Global Equilibrium,” Dr. Alexander Mirtchev and Dr. Norman Bailey explain why the solutions currently being offered are wholly inadequate to the scale of the problem, and argue the time is ripe for a “new Magna Carta” — a redefinition of the social contract among the government, Main Street and Wall Street.

U.S. spied on presidents of Brazil, Mexico: report

BRASILIA (Reuters) - The U.S. National Security Agency spied on emails, phone calls and text messages of the presidents of Brazil and Mexico, a Brazilian news program reported, a revelation that could strain Washington's relations with Latin America's two biggest nations.

Venezuela admits its economy has 'structural problems'

Venezuela's finance minister has acknowledged that the economic policies of late President Hugo Chavez and his successor have not yet succeeded.

Mexico leftist vows to block reforms, warns oil firms

CATEMACO, Mexico (Reuters) - Fiery Mexican leftist Andres Manuel Lopez Obrador has vowed to stop the government's energy and tax reforms and hopes to lead even bigger protests than when he brought central Mexico City to a standstill after narrowly losing the 2006 presidential election.

Brazilian Swap Rates Rise After Central Bank Signal; Real Falls

Brazil’s swap rates climbed after the central bank raised borrowing costs by a half-percentage point for a third straight meeting and signaled that it will maintain the pace of increases.

Analysis: Colombia’s fight against the coca trade

EL TARRA, 28 August 2013 (IRIN) - The Colombian government believes people should just say no to growing coca: those that do not, risk aerial spraying of their illicit crop with powerful pesticides, or manual destruction by work teams hired by private firms and supported by the security forces.

Brazil set to hike interest rates again to rebuild confidence

BRASILIA (Reuters) - Brazil will likely increase interest rates for a fourth straight time on Wednesday, keeping up its aggressive campaign to fight inflation and regain investors' trust in Latin America's largest economy, economists said.

Mexico moving to grow trade ties with Asia

PLAYA DEL CARMEN, Mexico (Reuters) - Asia could become twice as important to Mexico as an export market over the next five years as the country strengthens trade ties with the fast-growing economies of the region, Mexican Economy Minister Ildefonso Guajardo said on Monday.

Argentina says to continue paying debts on same terms:Telam

BUENOS AIRES – Argentina will continue paying bondholders on the same terms, its economy minister told state news agency Telam on Saturday, after losing an appeal in its legal battle with creditors who rejected past restructurings of the country's defaulted debt.

Mexico Rate in Line for Now With Inflation Target, Carstens Says

Mexico’s key interest rate, cut to a record low in March, is in line with the central bank’s goal of lowering annual inflation to 3 percent as the peso weakens amid slower growth, central bank Governor Agustin Carstens said.

Latin America's big China export: The telenovela

FORTUNE -- Whenever you see a Western media company doing business in China, you can bet its executives have had nightmares.

Brazil central bank commits $60bn to prop up currency

Brazil's central bank has announced a $60bn plan to prop up the value of the national currency. It comes as the Brazilian real nears a five-year low against the US dollar.

Mexican Bonds Rally on Weaker-Than-Forecast GDP; Peso Advances

Mexico’s peso bonds rose, pushing yields down the most in two weeks, as slower-than-forecast economic growth fueled speculation that the central bank will reduce borrowing costs.

Brazil World Cup: Tourism board worried by hotel prices

Brazil's tourism board has asked world football governing body Fifa and hotel operators to try to bring down hotel prices – which have reportedly sky-rocketed for the World Cup period.

As a Boom Slows, Peru Grows Uneasy

LIMA, Peru — From his office window, Henrik Kristensen, the chief executive of the company that runs Peru’s main port, can still look out at rows of newly arrived, shiny Kia automobiles from South Korea and shipping containers stacked four high, full of imported items like television sets and brand-name clothing bound for the growing number of malls that serve this country’s burgeoning middle class.

Mexico left-leaning party proposes limited energy reform

MEXICO CITY (Reuters) - Mexico's largest left-of-center political party has proposed a plan that would revamp state-oil monopoly Pemex, but without amending the constitution to permit more private investment in the oil, gas and electricity sectors, as the government has suggested.

Brazil Consumers Start Getting Tired

Brazil is facing increasing headwinds. The economy is sputtering along, doing better than last year’s meager 0.9% growth, but growth forecasts are now being revised downward.

Survey: World Economy Weakened in Second Quarter

The global economy weakened slightly in the second quarter of 2013, mainly driven by declining optimism in Asia and Latin America, although North America showed signs of continuing recovery, according to a World Economic Survey published today by the International Chamber of Commerce and the economic research institute Ifo.

Argentina's Economic Team Hints at Policy Continuity After Election Setback

BUENOS AIRES--President Cristina Kirchner's economic team signaled this week that the administration will keep in place the policies that some observers say contributed to her ruling coalition's poor showing in congressional primary elections.

Brazil Central Bank: Regional Data Shows Mixed Recovery

BRASILIA--Brazil's economy showed a mixed recovery midway through the second quarter despite still the ample availability of credit locally, the country's central bank said Monday.

Analysis: Argentina's Fernandez weakened by vote but still in charge

BUENOS AIRES (Reuters) - Argentine President Cristina Fernandez may be a lame duck after her coalition was thumped in a mid-term primary election, but with two years left in power she can still impose more of the capital and currency controls that have cut confidence in Latin America's No. 3 economy.

Factbox: Mexico's unwieldy energy sector braces for historic makeover

MEXICO CITY (Reuters) - Mexican President Enrique Pena Nieto is set to announce a comprehensive energy overhaul this week as he tries to staunch state oil monopoly Pemex's sliding output and boost growth in Latin America's second-largest economy.

Brazil President's Approval Increased on Inflation Slowdown

SAO PAULO--Support for Brazilian President Dilma Rousseff increased, although it still remains far from the record level earlier this year, as inflation showed signs of slowdown.

China, Latin America sales help Adidas profits

FRANKFURT, Germany (AP) -- German shoe and sporting goods company Adidas AG said Thursday net profit rose 4 percent in the second quarter to 172 million euros ($229 million) as stronger sales in China and Latin America offset a decline in Europe.

Mexico Consumer Prices Unexpectedly Fell on Food Prices

Mexico’s consumer prices fell in July for the third straight month as food and merchandise prices declined and Latin America’s second-biggest economy struggles to boost growth.

How the Alternative Energy Megatrend will impact global geopolitical relations

The Greening of Geopolitics

The advent of renewable energies is generally regarded from a fairly narrow perspective: whether – and to what extent – they are able to replace fossil fuels and what this would mean for the energy system and the economy. Such a perspective profoundly underestimates the potential consequences of what is in fact a revolutionary global development: a socio-political and techno-economic megatrend that has the ability to become a global societal game-changer, writes Alexander Mirtchev, Vice-President of the Royal United Services Institute for Defence and Security Studies (RUSI). According to Mirtchev, the ‘Alternative Energy Megatrend’ will have far-reaching effects on global geopolitical relations and security concerns – effects that have yet to be fully grasped by most observers. This article is adapted from his upcoming book: “The Alternative Energy Megatrend: A Global Security Discourse in the Universally-Securitized World”.

Alternative Energy And Global Energy Security In Aftermath Of Rio+20

“Life always gets harder toward the summit–the cold increases, the responsibility increases.” These words by Friedrich Nietzsche aptly characterize the atmosphere among global leaders at June’s international summits.

Mexico Leader Said to Seek Changes to Break Oil Monopoly

Mexican President Enrique Pena Nieto will seek to amend three articles of the constitution to break Petroleos Mexicanos’s monopoly in the state-run oil industry, according to two people with direct knowledge of the bill.

Brazil Services Sector Shows Signs of Weakness

The services industry in Brazil showed signs of weakness in July, setting a worrying tone for growth in the second semester after a disappointing first half of the year.

Peru Pursues Solar for the Masses

Peru may be best known for Machu Picchu and other Incan and Aztec treasures, but the nation is looking to its future with new plans to use solar to provide electricity for about 2 million of its poorest residents by the end of 2016.

Analysis: Mexico bets on reforms to boost wages, but no quick fix

MEXICO CITY (Reuters) - Mexicans hoping their president will make good on a campaign promise to boost wages may be in for a long wait, as the country aims to dodge Brazil's mistakes by betting on economic reforms that will take years to translate into labor gains.

Argentina's Second-Quarter Unemployment Rate Falls to 7.2% -President

BUENOS AIRES--Argentina's unemployment rate fell abruptly to 7.2% in the second quarter as the economy appeared to gain traction following a significant slowdown last year.

Chile: mining worries over power projects

SANTIAGO, Chile (AP) -- The head of Chile's Sonami mining association and the economy minister said Friday that they're deeply concerned that the recent suspension of a planned $1.4 billion thermoelectric plant will hurt the country and its energy-intensive mining industry.

Mexico president to present energy reform next week

MEXICO CITY (Reuters) - Mexican President Enrique Pena Nieto said on Thursday his sweeping energy reform, which is expected to include constitutional changes to lure private investment and boost output, will be presented to Congress next week.

The First Latin American Innovation Summit Begins Tuesday in Partnership with the Institute for Large Scale Innovation and the Government of Chile

SAN FRANCISCO--(BUSINESS WIRE)-- The first Latin American Innovation Summit (Cumbre de Innovación) opens Tuesday in Santiago, Chile.

Brazilian Real Falls to Four-Year Low, Stoking Inflation Concern

Brazil’s real dropped to a four-year low, adding to concern inflation will undermine efforts to stimulate Latin America’s largest economy.

Argentine Housing Bust Has Government Dialing for Dollars

In a region where booming real estate markets have governments from Chile to Brazil to Colombia warning of potential property bubbles, Argentina stands out as a bust.

Mexico Central Bank Unanimous in Holding Rate as Inflation Slows

Mexican policy makers were unanimous in their decision to leave interest rates unchanged this month as pressure on inflation eased and the Federal Reserve signaled it may begin to withdraw stimulus in the U.S., the minutes published today show.

Breaking taboo, Mexico government aims to tax food, medicine

(Reuters) - Mexico plans to boost its tax coffers by an extra $50 billion a year with an overhaul that aims to extend sales tax coverage, close tax loopholes and could impose charges on capital gains.

Brazil's real economic crisis lies in its overvalued currency

As Pope Francis pushed his way through the crowds in Rio de Janeiro's shantytowns on Thursday, his message that next year's World Cup and the 2016 Olympics would provide jobs and alleviate poverty was greeted with some scepticism. Brazil is facing hard times.

Mexican Peso Bonds Slump on Fed Stimulus Outlook; Currency Slips

Mexican peso bonds fell, pushing yields to a two-week high, as a bigger-than-forecast increase in orders for U.S. durable goods fueled speculation that the Federal Reserve will curtail monetary stimulus.

Cuba still allergic to private property as reforms creep forward

HAVANA (Reuters) - Every Monday in the bowels of Cuba's Palace of the Revolution, a group of men and women charged with revamping the island's moribund economy meets to review progress in building what they have dubbed "a prosperous and sustainable socialism."

Brazil’s Swap Rates Fall as Consumer Prices Drop; Real Advances

Brazil’s swap rates declined to a six-week low as reports showed consumer prices dropped and consumer confidence waned, spurring speculation that the central bank’s increases in borrowing costs will be limited.

Pope Francis arrives to Brazil's warm embrace

RIO DE JANEIRO (AP) — Pope Francis returned Monday to the warm embrace of Latin America, landing in Brazil to begin his first international trip as pontiff.

Mexico to Become One of the World’s Top 10 Aviation Suppliers

Mexico is determined to become one of the world’s top ten aviation suppliers, according to the British newspaper The Guardian.

Portugal ruling party vows to meet bailout goals after pact talks fail

LISBON: Portugal's ruling Social Democrats (PSD) said on Saturday their coalition government would press on with meeting the country's economic bailout goals after talks on a broader political deal sought by the president collapsed.

Bus Fare Reversal Aids Brazil Inflation Fight

Brazil’s inflation slowed more than analysts forecast in mid-July after street protests forced local governments to roll back an increase in urban bus fares.

Fractured Chilean right should pick single candidate - Pinera

SANTIAGO (Reuters) - Chilean president Sebastian Pinera urged his fractured right-wing coalition to settle on one presidential candidate ahead of the November general election, as the bloc scrambles to avert an electoral debacle.

Brazil's Newest Indicator Reinforces Bleak View Of Economy

RIO DE JANEIRO--Dark clouds are building around the Brazilian economy, with leading indicators in the red and authorities equipped with fewer tools to stimulate growth than in years past, research institute The Conference Board, or TCB, said Wednesday.

Russian central banker declares homes in U.S., Mexico

MOSCOW (Reuters) - A senior Russian central bank official has declared ownership of six apartments in Mexico and a home in the United States, possibly leaving him open to criticism as President Vladimir Putin campaigns to curtail holdings of foreign assets.

A fistful of financial instruments

IN A speech last November, President Cristina Fernández de Kirchner regretted that she did not possess “a little machine to print dollars”.

Brazil Economists Raise 2014 Selic Forecast to Highest All Year

Brazil economists raised their 2014 benchmark interest rate forecast to the highest all year, as policy makers work to slow inflation that has curbed consumption and confidence in the world’s second-biggest emerging market.

Mexico Holds Key Rate as Weaker Peso Undermines CPI Gains

Mexico’s central bank kept its overnight rate at a record low as policy makers balance slowing growth with above-target inflation and a weakening currency in Latin America’s second-biggest economy.

Brazil's Eletrobras cuts over 4,000 jobs in buyout

Brazilian state-led electric utility Eletrobras said on Friday 4,088 employees had agreed to a buyout package aimed at cutting payrolls and slashing costs in the face of lower electricity tariffs.

Green economy not taking off in Latin America

A year after endorsing the principles of the green economy at the Río +20 summit, Latin America is making little progress towards sustainable development models, according to experts. The region “is generally in a precarious situation.

Brazil Swap Rates Drop After Central Bank Statement; Real Gains

Brazil’s swap rates fell to a four-week low as policy makers dashed speculation they would step up the pace of interest-rate increases after raising the benchmark rate by 50 basis points for a second straight meeting.

Mexico reform drive at stake as regions vote

(Reuters) - Mexican President Enrique Pena Nieto's sweeping economic reform plans hang in the balance in local elections on Sunday with a strong opposition showing seen as crucial to preserve a cross-party pact.

Argentina rescinds Famatina mining concession

BUENOS AIRES, Argentina (AP) -- Argentina's La Rioja province is rescinding the concession for the Famatina gold mining project after widespread environmental protests.

Mexico’s Peso Gains on Draghi Low Rates Pledge; Bond Yields Fall

Mexico’s peso rose as a pledge from European Central Bank President Mario Draghi to keep rates low eased concern that near-zero borrowing costs in developed nations were set to increase.

Argentina: Women will now collect welfare money

BUENOS AIRES, Argentina (AP) -- Andrea Nerone lost her home and later was denied welfare to support her family after her husband abandoned her and their four children late last year.

Brazil's Batista steps down as chairman of MPX

SAO PAULO (AP) -- Eike Batista, not long ago Brazil's richest man, has resigned as chairman of energy company MPX Energia after it was forced to call off a planned IPO, the company said Thursday.

Argentina rescinds Famatina mining concession

BUENOS AIRES, Argentina (AP) -- Argentina's La Rioja province is rescinding the concession for the Famatina gold mining project after widespread environmental protests.

World Bank President Jim Yong Kim returns to Peru, praises social development

World Bank President Jim Yong Kim is in Peru this week, returning to the place where he says his interest in poverty reduction was first piqued.

OGX down 39 percent as Brazil oil company fights to survive

(Reuters) - Brazilian billionaire Eike Batista's flagship oil company OGX Petroleo e Gas SA (OGXP3.SA) slashed capital spending on Monday and pulled the plug on three offshore oil prospects, the latest move by his EBX Group to bolster finances and avert collapse.

Mexico eyes China as new tequila market

Mexican tequila distillers are ready to get the party started in a huge new market -- China. The two countries agreed to increase tequila imports from Mexico when their presidents met earlier this month.

Uruguay: South America's New Zealand?

Uruguay has always had to struggle for attention, wedged between two much larger political and economic powers. But it has consistently beaten expectations time and again.

Brazil truckers call for 72-hour strike starting Monday

(Reuters) - Brazil's trucking union is calling for a 72-hour strike starting on Monday, potentially slowing the movement of record soy, corn and sugar crops to ports, although unlikely to stop exports.

Iran Influence in Latin America Waning, U.S. Report Says

Iran isn’t actively supporting terrorist cells in Latin America and its influence is waning in the region after almost a decade of promises to increase investment, according to a State Department report.

Brazil Braces for More Protests Despite Rousseff Promise

Brazilian police expect 130,000 people to take to the streets today as officials rush to respond to demands for improved health care and education in protests that have coincided with a dry run for the World Cup.

Mexico Peso Gains as U.S. Economic Reports Boost Export Outlook

Mexico’s peso rose for a third day as data showing the U.S. economy is improving boosted the outlook for the Latin American nation’s biggest export market.

Latin American Exchange Leaders Talk Growth as Global Markets Fall

NEW YORK (TheStreet) -- Latin America's fastest growing economies say they're a safe and rewarding place for investment despite signs that emerging markets led by China are slowing and the world's second-largest economy grapples with structural problems to its banking system.

With no easy options, Brazil's Rousseff strains to manage unrest

(Reuters) - Few people in Brazil know what it's like to be 20-something and angry at the government quite like President Dilma Rousseff.

Mexican oil producer Pemex evacuates headquarters after bomb threat

(Reuters) - Mexico's state oil producer, Pemex, said on Tuesday it had evacuated its Mexico City headquarters, the site of a deadly explosion in January, after a bomb threat.

Argentine cash controls bring bargains, headaches

BUENOS AIRES, Argentina (AP) — The Brazilian visitors gawk in wonder as they stroll past shop windows along touristy Florida street in the Argentine capital.

Brazil's Unemployment Rate Holds Steady at 5.8% in May

RIO DE JANERIO--Brazil's unemployment rate was stable in May after four straight months of increase, as the labor market remained relatively strong despite the country's economic slowdown.

US and Cuba to resume migration talks

HAVANA (AP) — The United States and Cuba have agreed to resume bilateral talks on migration issues next month, a State Department official said Wednesday, the latest evidence of a thaw in chilly relations between the Cold War enemies.

Videgaray Says Mexico’s Growth to Quicken as Spending Rises

Mexico’s economic growth will quicken as the government increases spending in the second half of the year, Finance Minister Luis Videgaray said.

Insight: The big money bails on Argentina - again

BUENOS AIRES (Reuters) - More than a decade after Argentina's epic financial collapse of 2001-02, many investors are rushing for the door once again.

Petrobras Sells $1.8 Billion in Assets to Esteves’ BTG, Cemig

Petroleo Brasileiro SA, the world’s most indebted oil company, sold $1.83 billion in assets to billionaire Andre Esteves’ Banco BTG Pactual SA (BPAC3) and to Cia. Energetica de Minas Gerais as it seeks to raise cash.

Brazil Seeks to Boost Economy With $8.7B in Loans

Brazil's government is offering $8.7 billion in low-interest loans for people enrolled in a low-income housing program to outfit their homes with furniture and appliances.

Mexico’s Long-Term Peso Debt Rises After Auction; Currency Falls

Mexico’s longest-term peso bonds rose for a second day as the results of a government auction yesterday indicated that demand for the securities may rebound.

Wake up, Latin America, it was never your leaders who drove growth

Latin America watchers are understandably dizzy. Just a little more than a year ago, the region was the darling of the economic press, which described it as the future engine of the world’s economy.

Latin America Can Handle Fed’s Post-Stimulus Effects, IMF Says

Latin American economies are “well positioned” to withstand capital outflows as speculation increases that the Federal Reserve will roll back its stimulus, said the International Monetary Fund’s top official for the region.

Argentina Sees $110 Million 1st-Quarter Capital Inflow Vs Year-Earlier Outflow

BUENOS AIRES--A host of strict capital controls stemmed capital flight during the first quarter, with Argentina posting a small net capital inflow compared to a steep outflow a year earlier.

Mexico Holds Key Rate as Inflation Clashes With Weak Growth

Mexico’s central bank kept its overnight rate at a record low as above-target inflation limits the room to stimulate a slowing economy.

Brazil hit with negative outlook by S&P

PARIS: Standard and Poor's revised its outlook for emerging powerhouse Brazil to negative on Friday due to slowing economic growth and overburdened government finances.

Argentina Will Not Become Venezuela

Chevron (NYSE: CVX) is in advanced negotiations with Argentinean state owned YPF (NYSE: YPF) to develop Vaca Muerta basin, considered by Chevron the second largest reservoir of unconventional oil in the world. This looks like a potentially huge opportunity, but the risks are also enormous.

Xi visits US, Latin America as leader of more confident China after decade of explosive growth

BEIJING - President Xi Jinping meets his American counterpart, Barack Obama, this week after stops in the Caribbean and Latin America as the leader of a more confident China following a decade of explosive economic and trade growth.

China drawn to Mexico's opening economy

MEXICO CITY (AP) — China has invested heavily in resource-rich Latin America in recent years, striking major trade deals with governments from Venezuela to Argentina.

Brazil’s economy is weak, but its IPOs are still going strong

Brazil’s GDP growth has been disappointing, but one company remains bullish on the economy: cement producer Votorantim Cimentos.

Colombia Leaves Rates Unchanged and Extends Dollar Purchases

Colombia kept borrowing costs unchanged for a second straight month as policy makers gauge whether Latin America’s lowest interest rate and a government stimulus package will reverse a slowdown in growth. It also extended a program of dollar purchases until September.

Mexico Peso Extends Biggest Monthly Decline in Year on Economy

Mexico’s peso dropped, extending its biggest monthly decline in a year, as a surge in U.S. Treasury yields sapped demand for the Latin American nation’s assets.

Argentina's March Primary Surplus Almost Halved to ARS438.3 Million

Argentina's government said Wednesday that its primary surplus fell almost 94% in March as spending increased faster than revenues.

Peru Sol Drops to Lowest Since 2011 as Bonds Fall on Fed Outlook

Peru’s sol slumped to its weakest level in more than a year as slowing economic growth and speculation that the Federal Reserve will reduce monetary stimulus sparked a selloff in the Andean nation’s bonds.

Analysis: Brazil investments have a long, potholed road ahead

SAO PAULO (Reuters) - If you think you're seeing light at the end of the tunnel for Brazil's economy, look again: it's just brake lights from a growing line of 18-wheelers.

Argentina Manufacturing Sector Posts Modest Expansion in April

BUENOS AIRES--Argentina's industrial production expanded at a modest pace in April, confirming that manufacturing continues to slowly recover from last year's downturn, according to a government report Friday.

Mexico may retaliate in meat-label row with U.S.

SAN FRANCISCO (MarketWatch) — Mexico may hit back with trade measures against the U.S. in reaction to a new rule requiring meat sold in the U.S. to carry labels specifying its origin, according to a media report.

Colombia, FARC rebels reach agreement on agrarian reform

HAVANA (Reuters) - Colombia and the Marxist-led FARC rebels have reached agreement on the critical issue of agrarian reform, the two sides said on Sunday in a major step forward for the peace process aimed at ending their long war.

Peru’s Economy Downshifts, but Still Has Plenty of Gas

The best performing of Latin America’s main economies in recent years is losing steam, but is very well prepared to keep chugging at a strong clip.

Brazil Consumer Confidence Index Drops in May -FGV

SAO PAULO--Brazil's main consumer confidence index dropped in May due to continued concerns with inflation pressures and signs of slowdown of the labor market, the private Vargas Getulio Foundation, or FGV, said Friday.

Mexico Peso Falls Amid Growing Concern Fed Will Taper Stimulus

Mexico’s peso fell for a third day on growing concern the Federal Reserve will taper a stimulus program that has boosted demand for emerging-market assets.

Brazil's Mantega: Spending to Boost Growth Doesn't Drive Inflation

Brazil's government is spending more to help the economy recover, but that spending isn't contributing to push up inflation, Finance Minister Guido Mantega said Wednesday.

Latin America's Second Biggest Economy Posts Slim Growth in Q1

MEXICO CITY -- Amid a drop in industrial activity, Mexico's economy grew 0.8% in the first quarter compared to a year earlier, official figures showed Friday.

Brazil approves law to modernize ports

SAO PAULO (AP) -- Brazil plans to modernize and expand its overcrowded ports, attract private investments to the sector and make it easier for companies to hire skilled foreign workers, in a bid to spur economic growth.

Colombian Industrial Production Contracts Most Since 2009

Colombian industrial output contracted more than twice as much as analysts had expected in March, led by a slump in vehicle sales. Industrial production shrank 11.5 percent in March from a year earlier, the national statistics agency said today in a report, the biggest drop since April 2009.

Mexico Peso Drops on Speculation Fed to Consider Easing Stimulus

Mexico’s peso fell for a sixth day in its longest losing streak since November as speculation the Federal Reserve will consider scaling back its record program of asset purchases reduced demand for emerging-market assets.

Venezuela's Maduro buries hatchet with billionaire businessman

CARACAS (Reuters) - Socialist leader Nicolas Maduro and the billionaire boss of Venezuela's biggest private company have buried the hatchet after a war of words over food shortages and other economic problems in the South American nation.

Petrobras announces record $11 billion bond issue

RIO DE JANEIRO: Brazilian oil giant Petrobras announced an $11 billion bond issue on Tuesday, a record for an emerging country company.

Venezuela's Maduro gets firm Brazilian backing, trade

(Reuters) - Venezuelan President Nicolas Maduro got strong backing from regional heavyweight Brazil on Thursday on a tour of South American allies to cement his legitimacy as political heir to the late Hugo Chavez.

Argentina faces very different debt default if loses legal fight

BUENOS AIRES (Reuters) - When Argentina defaulted on its debt in 2002, the economy was collapsing and a bloody popular revolt had helped topple two presidents in a week.

Despite winning top world trade job, even Brazil looks beyond WTO

(Reuters) - Brazil campaigned hard to get the top job at the World Trade Organization this week but behind closed doors even it acknowledges that the WTO's main mission - pushing forward in global trade talks - looks for the moment like a lost cause.

Argentina offers tax amnesty for undeclared cash

BUENOS AIRES, Argentina (AP) -- Argentina's government announced new measures on Tuesday intended to suck up undeclared dollars in response to growing pressure to abruptly devalue the nation's currency.

Factbox: Key facts about Mexico's tax system

(Reuters) - Mexico's new government has promised a comprehensive review of its tax system, to be announced in the second half of 2013 along with an overhaul of energy policy.

Brazil's Azevedo wins race to head WTO

GENEVA (Reuters) - Brazil's Roberto Azevedo has won the race to become the next head of the World Trade Organization, the first candidate from the BRIC club of emerging economies to take the job.

State visits amplify Obama focus on Latin America

WASHINGTON (AP) — Keeping a keen eye south of the border, the Obama administration is intensifying its engagement with Latin America, hosting leaders from a pair of presidents at the White House and sending Vice President Joe Biden to visit two others.

Mexico Battles Brazil for Clout Via WTO Top Job as Economy Grows

Latin America’s two largest nations are vying for economic and diplomatic clout as their candidates face off as finalists to head the World Trade Organization.

Chile's Bachelet courts Communists for big reforms

SANTIAGO, Chile (AP) — Communist and other leftists were considered enemies of the state during Chile's military dictatorship, a 17-year period that saw thousands of people killed and disappeared for their politics.

Barack Obama wraps up Latin trip with an eye back home

SAN JOSE: President Barack Obama, concluding a three-day visit to Mexico and Costa Rica, is cheering Mexican economic advances and pressing other Central American leaders to deal with poverty and security while reaching out to a politically powerful Latino audience back home.

Central America struggles to unite for Obama trip

SAN JOSE, Costa Rica (AP) -- President Barack Obama on Friday visits a Central America that continues to be plagued by violence, drug trafficking, corruption and poverty, despite the success of a decade-old trade agreement with the United States.

Brazil's Itau Bank Sees No Need to Tap Capital Market

Brazil's largest private-sector bank in terms of assets, Itau Unibanco (ITUB, ITUB4.BR), sees no need to tap capital markets in the next few years in order to meet strict new liquidity requirements under Basel III rules, one of the firm's top executives said Thursday.

Latin America no longer anyone’s ‘backyard’

With President Obama’s sixth trip to Latin America taking place this week from Thursday to Saturday, it is time to recognize that traditional measuring sticks for relations with our closest neighbors no longer work. Instead of asking what the United States is doing for the Americas, it is time to appreciate how the United States is leveraging ties to and working with the Americas to advance our interests.

Mexican Congress passes telecoms overhaul in swipe at Slim, rivals

MEXICO CITY (Reuters) - Mexico's Congress on Tuesday gave overwhelming final approval to an expansive overhaul of the telecommunications sector, which aims to boost competition in the industry and tame the likes of billionaire Carlos Slim and broadcaster Televisa.

Latin America’s Economy Projected to Grow 3.5% in 2013

Economic Comission for Latin America and the Caribbean (ECLAC) recently published its growth forecasts for Latin America’s economies in 2013.

Mexican Central Banker Says Inflation Pressure Temporary

ACAPULCO, Mexico--Mexico's central bank chief Agustin Carstens said Thursday consumer prices might begin to ease by June, since recent inflationary pressures such as hikes in public transportation costs and climate factors are transitory.

Colombia Holds Rate at 3.25% as Santos Unveils Stimulus

Colombia kept borrowing costs unchanged for the first time in six months as policy makers seek to evaluate the combined effects of Latin America’s lowest interest rate and the government’s fiscal stimulus.

Brazil Consumer Default Rate Drops to Lowest Level in 16 Months

Brazil’s consumer-loan default rate fell to the lowest level since November 2011 on near-record low borrowing costs.

Mexico Telecom Bill Returns to Senate With Small Wording Change

Mexico’s lower house sent a bill to increase competition in telecommunications back to the Senate, paving the way for tougher regulators to challenge the dominance of America Movil SAB (AMXL) and Grupo Televisa SAB. (TLEVICPO)

Asia, Latin America deals on deck in US high-grade market

There are a few deals from Asia and Latin America already lined up to price Wednesday in the US high-grade bond market, which is currently at USD10.15bn in countable volume for the week.

UN lowers 2013 Latin America growth forecast

SANTIAGO, Chile (AP) -- The economy of Latin America and the Caribbean is expected to grow by 3.5 percent this year, less than previously forecast, because of uncertainty about the future of the world economy and slower growth in developed nations, the United Nations said on Tuesday.

Most Brazilian Stocks Fall on Manufacturing Growth View

Most Brazilian stocks fell as economists cut forecasts for the country’s industrial output growth this year and next, adding to concern that recovery in Latin America’s largest economy is faltering.

Argentina Bondholders Reject Plan to Pay Defaulted Debt

Holders of Argentina’s defaulted debt, led by Elliott Management Corp.’s NML Capital Ltd. unit, rejected the nation’s proposal to force them to take a sharp discount on their bonds.

Exclusive: Mexico bank reform eases legal hurdles to boost credit

MEXICO CITY (Reuters) - Mexico's government aims to boost lending by making it easier for banks to collect on guarantees for bad loans and by giving new powers to regulators to punish firms that do not lend enough, according to a draft of a new banking reform.

Itau Bet on Stocks Outside Brazil Leads Latin America Funds

Itau Unibanco Holding SA (ITUB4) has found a winning strategy for the Itau Latam Pacific mutual fund: avoiding shares from the bank’s home country, Brazil.

IMF trims growth forecast for Latin America

WASHINGTON: The IMF on Tuesday trimmed its economic growth forecasts for Latin America and the Caribbean this year but said the outlook for the region was positive.

Mexico’s Peso Drops as Weaker Global Data Damps Export Outlook

Mexico’s peso fell the most in a week after a report that showed China’s economy grew less than forecast added to concern that global expansion is slowing, damping the Latin American country’s export outlook.

Brazil Central Bank Economic Activity Index Down 0.52% in Feb Versus Jan

SAO PAULO--Brazil's economic activity dropped in February, increasing expectations Latin America's largest economy will post tepid activity in the first quarter of this year.

Colombian Peso Posts Weekly Decline Before April 15 Stimulus

Colombia’s peso posted the biggest weekly drop in Latin America as the government prepares a stimulus plan that Finance Minister Mauricio Cardenas has said includes measures to weaken the currency.

IMF says Latin America can handle Japan funds inflow

MEXICO CITY (Reuters) - Aggressive monetary easing in Japan will probably not swamp Latin America with excess capital, but much depends on when the U.S. Federal Reserve eases back from its stimulus measures, a senior International Monetary Fund official said.

Mexico’s Peso Rises as Senate Poised to Vote on Telecom Reforms

Mexico’s peso rose to a 20-month high amid speculation lawmakers are moving closer to approving a bill to boost competition in the telecommunications industry, fueling optimism for legal reforms that could bolster growth.

Brazil Industrial Capacity Use Falls In February to 82.6%

BRASILIA--Brazil's use of installed industrial capacity fell in February as industrial activity failed to maintain the acceleration seen in the previous month, the country's National Confederation of Industries, or CNI, reported Tuesday.

Italy's Enel Excludes Latin America from Asset-Sales Plan

Enel SpA (ENEL.MI), Europe's most highly indebted energy utility, is betting on Latin America to help raise its revenues, and far from planning asset sales in the region, it is looking to increase its presence there, said Chief Executive Fulvio Conti.

Brazil Swap Rates Drop to One-Month Low on GDP View; Real Rises

Brazil’s swap rates fell to a one- month low as economists lowered their forecasts for growth and inflation, spurring speculation that the central bank will refrain from increasing borrowing costs next week.

Colombian Economic Engine Continues To Move Forward

Colombia, at one point in time, was more known for drug trafficking rather than its economic prowess, but that reputation is slowly changing as the nation continues to post strong economic growth numbers.

Mexico Peso Drops as Slower U.S. Job Growth Damps Export Outlook

Mexico’s peso tumbled as U.S. employers hired fewer workers than forecast in March, hurting prospects for the Latin American nation’s top export market.

Economic Weakness May Postpone Brazil Rate Hikes

Brazil’s economy is slowing down again, with weak industrial production data released earlier this week.

Chilean President Dismisses Concern Economy Is Overheating

Chilean President Sebastian Pinera dismissed concern the economy is growing in an unsustainable fashion, one day after his finance minister said the government may take measures to avoid overheating.

Brazil Central Bank Chief Says Rates Will Go Up If Needed

BRASILIA--Brazil's economic recovery remains on track, but the central bank is monitoring its data and is ready to act if inflation gets out of hand, the head of the country's central bank said during a Senate hearing Tuesday.

Colombia Bond Yields Rise on View Rate Cuts Over; Peso Advances

Colombia’s peso bond yields rose for a third day on speculation the central bank’s rate-cutting cycle that began in July reached an end after an unexpected half- percentage-point cut last month.

Inside the Surging Mexico ETF

Mexico, the second largest economy of Latin America, turned out to be one of the strongest economies in 2012.

Argentina ‘Greek Tragedy’ Nears End as Debt Ruling Looms

Argentina may learn at any time whether a U.S. appeals court will rule that it must pay $1.4 billion to holders of its defaulted debt, something the South American country has resisted for more than a decade.

Argentina Has Last Chance to Influence U.S. Court in Bonds Case

Argentina has what may be its last chance to influence a U.S. appeals court considering a lawsuit over the country’s attempts to avoid paying holders of its defaulted debt.

Brazil's February Unemployment Rate Rises To 5.6% -IBGE

RIO DE JANEIRO--Brazil's unemployment rate rose for a second-consecutive month in February as companies continued to trim payrolls of seasonal workers, but local wages advanced in an ominous sign for inflation.

Argentina to offer holdouts mix of Par, Discount bonds: report

BUENOS AIRES (Reuters) - Argentina, battling to avert a fresh debt crisis, plans to offer suing "holdout" creditors a 25-year bond equal to the face value of their debt when the country defaulted in 2002, local financial daily Ambito Financiero reported on Wednesday.

Brazil Economists Boost 2013 Selic Forecast Third Straight Week

Analysts covering Brazil’s economy raised their forecast for the benchmark rate at year-end, as policy makers seek to control accelerating annualized inflation in the world’s second-biggest emerging market.

Mexico's January Economic Activity Rose 3.2% From a Year Before

MEXICO CITY--Mexico's economic activity expanded more than expected in January, rising 3.2% from a year earlier and recovering from a weak performance in December, according to data reported Monday by the National Statistics Institute, or Inegi.

IMF Backs Latin American Measures to Ease Impact of Inflows

The International Monetary Fund said it supports measures that would ease the impact of capital flows into Latin America that have caused some of the region’s currencies to climb at the fastest pace in the world.

Colombia Surprises With Half-Point Rate Cut Citing Low CPI

Colombia’s central bank unexpectedly accelerated the pace of interest rate cuts, citing weak growth, below-target inflation and the slow transmission of previous stimulus.

Brazil Current Account Gap Widest for February as Exports Fall

Brazil’s current account deficit was the widest ever for the month of February, as exports fell while imports rose.

Peru Sol Holds Within 0.1% of Three-Week High on Tax Payments

Peru’s sol held within 0.1 percent of a three-week high as local companies sold greenbacks to pay taxes, offsetting the central bank’s dollar purchases to stem appreciation.

Can Latin America ride out the global economic storm?

Latin America has stayed afloat during the global economic crisis in part because of a wave of high commodity prices. But a new IADB report indicates this may not last.

WTO faults Argentina on trade policy, data transparency

GENEVA: The World Trade Organization added its voice on Wednesday to criticism of the quality of Argentina's inflation data, and said the country's restrictive trade policies could fuel price pressures.

Brazil's Rousseff as popular as ever

BRASILIA (Reuters) - The Brazilian economy is hardly growing and inflation is rearing its head, but President Dilma Rousseff's popularity continues to climb to new highs.

Analysis: Mexico peso rise tests central bank's hands-off stance

(Reuters) - Mexico's peso is scaling new highs amid confidence in the country's reform push, a likely credit ratings upgrade and profit taking after last week's interest rate cut, sparking speculation about how far it will rise before authorities act.

Argentina's dictatorship economy chief Martinez de Hoz dies

BUENOS AIRES (Reuters) - Jose Alfredo Martinez de Hoz, economy minister during the most brutal years of Argentina's "dirty war" dictatorship and architect of some of the crisis-prone nation's most infamous economic experiments, has died at age 87.

Brazil's Rousseff to change agriculture, aviation ministers: source

BRASILIA (Reuters) - Brazilian President Dilma Rousseff will replace her agriculture and civil aviation ministers, in the first of a Cabinet shuffle that is not expected to change her economic team, a government source said.

Argentina's Pope Bergoglio a moderate focused on the poor

BUENOS AIRES (Reuters) - The first Latin American pope, Argentina's Jorge Bergoglio is a theological conservative with a strong social conscience, known for his negotiating skills as well as a readiness to challenge powerful interests.

Analysis: After Chavez, Latin America's ideological battle may ease

CARACAS (Reuters) - Hugo Chavez's exit from the world stage may take the sting out of an ideological battle that has enveloped Latin America since a new batch of leftists started taking power about 15 years ago to challenge U.S. "imperialism".

Peru Keeps 4.25% Rate as CPI Slows Amid Stable Growth

Peru kept borrowing costs unchanged for a 22nd consecutive month as policy makers expect inflation to converge to the mid-point of their target and economic growth to exceed 6 percent.

Mexico Unexpectedly Cuts Key Rate for First Time Since 2009

Mexico’s central bank unexpectedly cut its benchmark interest rate for the first time since 2009 as inflation remains within the target range and growth slows.

Argentina's Leading Index Points To Stagnating Economy

BUENOS AIRES -(Dow Jones)- Argentina's economy appears to be on track to expand only slightly if at all over the next three to six months, according to the closely watched monthly leading indicator published by Torcuato Di Tella University.

Brazil's Strengthening Currency Poses Competition Problem

Brazil‘s currency, the real, is strengthening again. It’s now around R$1.98 to the dollar. It was a weaker R$2.10 in December.

In Latin America, U.S. Would Rather Talk About Villains than Partners

It is quite possible that the only president of Latin American countries most non-Latino Americans can reliably name is Venezuela’s Hugo Chávez, who died March 5 at the age of 58. The reason for this is two-fold, and significant in terms of where we go from here.

Chile growth, foreign policy propel Pinera approval near two-year high

SANTIAGO (Reuters) - Billionaire President Sebastian Pinera's popularity rebounded to 38 percent in February, a near two-year high, on approval of Chile's robust economic growth and foreign policy, pollster Adimark said on Tuesday.

Mexican Peso May Gain as Aussie Falls, Chandler Says: Tom Keene

Falling commodity prices and a slowing economy will weaken the Australian dollar as the undervalued Mexican peso climbs, according to Marc Chandler at Brown Brothers Harriman & Co.

Insight: Brazil's leftist president fights to win back business

BRASILIA (Reuters) - The conversations with Brazil's top business leaders often last two hours, and up to four. President Dilma Rousseff asks detailed questions but otherwise listens intently, staring back with an inscrutable frown that occasionally unnerves her guests.

Colombia's Grupo Sura Will Keep On Acquisition Streak - CEO

CAMBRIDGE, Mass.--Colombia's financial-services group Grupo de Inversiones Suramericana (GRUPOSURA.BO, GIVSY) wants to keep expanding in Latin America and the Caribbean for the time being, including through the acquisition of assets that troubled European banks could be shedding in the region, a top executive said Saturday.

Mexico's ruling party convenes to seek change on tax, energy

MEXICO CITY (Reuters) - Mexico's ruling Institutional Revolutionary Party begins a congress on Saturday to overhaul its manifesto and open the door to major changes in energy and tax law to spur faster economic growth.

Brazil Economy Disappoints With More Slow Growth in 2012

BRASILIA-- Brazil's economy expanded at an annualized rate of 2% in the last three months of 2012, following a slew of government measures intended to spur growth, but still a pace that is frustrating investors who had seen Latin America's largest nation as one of the major drivers of a global economic recovery.

Q&A: Argentina's NY court showdown on default debt

BUENOS AIRES, Argentina (AP) — Judgment day is approaching in an epic battle between Argentina and New York billionaire Paul Singer, who has sent lawyers around the globe trying to force the South American country to pay its defaulted debts.

Mexico reverses foreign investment flows

MEXICO CITY (AP) -- After decades of depending on inflows of foreign capital to develop its economy, Mexico turned a corner and become a net exporter of direct investment capital in 2012, according to a report released Monday.

Brazil's January Unemployment Rises to 5.4% As Holidays End

RIO DE JANEIRO--Brazil's unemployment rate rose in January from December as companies let go of seasonal holiday workers, though joblessness remained near record lows.

Mexico's 2012 Current Account Deficit Equal to 0.8% of GDP

MEXICO CITY--Mexico registered a moderate current account deficit in 2012, as its first trade surplus in 15 years and transfers from Mexicans working abroad offset deficits in interest payments and services.