AGL 38.06 Decreased By ▼ -0.16 (-0.42%)
AIRLINK 133.80 Increased By ▲ 4.83 (3.75%)
BOP 8.77 Increased By ▲ 0.92 (11.72%)
CNERGY 4.72 Increased By ▲ 0.06 (1.29%)
DCL 8.70 Increased By ▲ 0.38 (4.57%)
DFML 40.10 Increased By ▲ 1.16 (2.98%)
DGKC 85.50 Increased By ▲ 3.56 (4.34%)
FCCL 35.30 Increased By ▲ 1.88 (5.63%)
FFBL 76.00 Increased By ▲ 0.29 (0.38%)
FFL 12.85 Increased By ▲ 0.03 (0.23%)
HUBC 110.25 Decreased By ▼ -0.11 (-0.1%)
HUMNL 14.11 Increased By ▲ 0.10 (0.71%)
KEL 5.43 Increased By ▲ 0.28 (5.44%)
KOSM 7.75 Increased By ▲ 0.08 (1.04%)
MLCF 41.65 Increased By ▲ 1.85 (4.65%)
NBP 70.25 Decreased By ▼ -2.07 (-2.86%)
OGDC 192.80 Increased By ▲ 4.51 (2.4%)
PAEL 26.35 Increased By ▲ 0.72 (2.81%)
PIBTL 7.40 Increased By ▲ 0.03 (0.41%)
PPL 161.71 Increased By ▲ 9.04 (5.92%)
PRL 26.43 Increased By ▲ 1.04 (4.1%)
PTC 19.47 Increased By ▲ 1.77 (10%)
SEARL 83.03 Increased By ▲ 0.61 (0.74%)
TELE 7.87 Increased By ▲ 0.28 (3.69%)
TOMCL 34.07 Increased By ▲ 1.50 (4.61%)
TPLP 8.63 Increased By ▲ 0.21 (2.49%)
TREET 17.21 Increased By ▲ 0.43 (2.56%)
TRG 59.99 Increased By ▲ 3.95 (7.05%)
UNITY 28.70 Decreased By ▼ -0.08 (-0.28%)
WTL 1.36 Increased By ▲ 0.01 (0.74%)
BR100 10,792 Increased By 133.6 (1.25%)
BR30 32,224 Increased By 893 (2.85%)
KSE100 100,214 Increased By 945 (0.95%)
KSE30 31,235 Increased By 202.4 (0.65%)

Latin American stocks dropped on Friday after the United States posted its weakest monthly job growth in a year and data showed Brazil's economy grew slower than expected in the first quarter, dampening investor optimism over a global economic recovery.
The MSCI Latin American stock index fell for the second session in three, slipping 1.32 percent to 3,348.96. The index is on track to close the session with a 1.25 percent weekly loss. Shares fell after the US Labour Department said May job growth in the world's largest economy was the lowest in a year, falling far below market expectations and suggesting that economic recovery there was faltering.
Further souring growth expectations, purchasing managers index data from the euro zone and China on Friday showed manufacturing output shrinking in both regions, which are key trading partners for Brazil and large purchasers of Latin American commodities such as iron ore, soybeans, copper and petroleum.
"We are seeing a strong aversion to risk, with bad news around the world and a fall in economic activity in almost all countries, showing that the European crisis is beginning to affect the global economy," said Newton Rosa, chief economist with SulAmérica Investimentos in Sao Paulo.
The slowdown was reflected by data on Friday showing Brazil's economy grew a worse-than-expected 0.2 percent in the first quarter. Investors responded by selling off shares of commodities companies, which are closely tied to global growth, as well as homebuilders and consumer product manufacturers, whose fortunes are more closely linked to domestic demand.
Brazil's benchmark Bovespa stock index fell for the third session in four, losing 1.23 percent to 53,822.47. The index is set to close the session with a 1.18 percent weekly loss, its sixth in a row. OGX, the oil company controlled by Brazilian billionaire Eike Batista, fell 2.43 percent, weighing most heavily on the index, while PDG Realty, Brazil's No 1 homebuilder, dropped 4.17 percent.
The Bovespa saw a net 2.73 billion reais ($1.34 billion) outflow of foreign funds in May through the 29th, as global investors sold off riskier Brazilian shares on mounting fears of a global crisis and a slowdown in domestic economic growth. "At one point, Brazil grew much faster than the rest of the world - it was the goose that laid the golden egg," said Flavio Serrano, economist with Banco Espirito Santo in Sao Paulo. "But there has been a slowdown in growth, the consumption expansion model hasn't been enough to leave the economy as strong as investors would like, so they are now looking for other investment opportunities in other parts of the world."
Mexico's IPC index fell its most in two weeks, losing 0.9 percent to 37,523.16. Still, the index is set to close the week with a 0.2 percent weekly gain, its second in a row. Telecommunications firm America Movil, controlled by billionaire Carlos Slim, lost 1.66 percent, while cement manufacturer Cemex fell 3.99 percent. Chile's IPSA index snapped a six-day rally and posted its biggest drop in over a week, losing 0.84 percent to 4,282.37. The index is on track to close the week with a 0.6 percent gain, its best weekly performance since mid-April. Retailer Cencosud lost 1.36 percent, weighing most heavily on the index, while retailer Falabella dropped 0.72 percent.

Copyright Reuters, 2012

Comments

Comments are closed.