Latam stocks buck global equity gloom; FX gains

Latin America stocks edged higher on Thursday, bucking the global equities gloom, while a tepid dollar and higher oil prices lifted currencies of crude exporters in the region.

Signals that the US-China trade standoff was taking its toll on corporate earnings and economic growth dampened the mood for world stock markets but MSCI's index of Latin American stocks was up 0.5%.

Sao Paulo-traded stocks climbed 0.3%, aided by gains in the financial and consumer sector.

Waste management firm Sabesp provided the biggest boost to the benchmark.

Investors also looked for further policy directions from President Jair Bolsonaro's government, which promised an economic stimulus package on Wednesday to revive flagging growth.

The announcement came days after the lower house of Congress approved the first round of voting for a landmark pension reform bill, seen as a critical step to restoring health to public finances and boosting investor confidence.

Stocks in Colombia and Argentina rose between 0.1% and 0.3%, while those in Mexico underperformed, down 0.3%.

Most currencies in the region gained against the greenback, which slipped for a second day against its rivals on softer US Treasury yields.

The real and Mexico's peso climbed 0.3% each, while Argentina's peso jumped 0.8%.

Chile's peso was marginally lower on lower copper prices, the country's main export, while stocks on the SPIPSA index shed 0.1%.