Latam stocks lower

Latin American stocks fell on Friday as deepening fears of a US recession and a wider financial crisis that could result from Europe's debt troubles kept investors cautious. The MSCI Latin America stock index fell 0.48 percent as a rebound last week from a more than 14-month low was derailed.
Latin American stocks are on track to post their worst month since October 2008, in the depths of the financial crisis. Bleak US data on regional factory activity in August and concerns that Europe's debt troubles could hobble the US units of European banks have renewed fears of a global slowdown and another credit crunch.
"The downward trend in the market could continue as we wait for more data from the United States," said Carlos Gonzalez, head of analysis at brokerage Monex in Mexico City. The weak data in the United States is raising fears of another recession there, while concern has also grown that Europe's debt crisis could end up hobbling major global banks.
Global turbulence has made it especially difficult to gauge trends, said Pedro Galdi, an analyst with SLW brokerage in Brazil. "The global outlook is the same: awful," he said. "Things are so complicated that you can't see ahead from one hour to the next."
Upcoming data is unlikely to quickly ease those fears. "We're going to have the August data from developed economies, as well, and those will be much worse than July," said Raphael Martello, an economist with Tendencias consultancy in Sao Paulo. Brazil's benchmark Bovespa stock index lost 1.29 percent to 52,447.63. In Sao Paulo trading, state-run oil company Petrobras fell 2.96 percent while Vale, the world's biggest iron ore producer, lost 1.44 percent. Analysts are watching Brazil's potential support around 52,300 points, near the 38.2 percent Fibonacci retracement of the August slump.
Mexico's IPC index lost 0.33 percent as shares of Cemex, the top US supplier of cement, lost 3.3 percent. The index's 100-day exponential moving average has crossed below its 200-day EMA in a sign analysts say could suggest much steeper losses lie ahead unless there is a sharp rebound in the next few sessions. Chile's IPSA index lost 0.47 percent as retailer Falabella fell 1.49 percent.