ILF•| Stock indexes | Latest | Daily % change |
| MSCI Emerging Markets .MSCIEF | 1704.71 | 0.6 |
| MSCI LatAm .MILA00000PUS | 3074.55 | 0.95 |
| Brazil Bovespa .BVSP | 174304.28 | 1.39 |
| Mexico IPC .MXX |
| 66280.12 |
| 0.78 |
| Chile IPSA .SPIPSA | 11465.07 | -0.63 |
| Argentina MerVal .MERV | 3000383.12 | 0.18 |
| Colombia COLCAP .COLCAP | 2506.43 | -0.17 |
| Currencies | Latest | Daily % change |
| Brazil real BRL= | 5.1463 | 0.12 |
| Mexico peso MXN= | 16.9454 | -0.02 |
| Chile peso CLP= | 912.65 | -0.11 |
| Colombia peso COP= | 3090.5 | -1.12 |
| Peru sol PEN= | 3.3485 | 0.12 |
| Argentina peso (interbank) ARS=RASL | 1,511.5 | -0.10 |
| Argentina peso (parallel) ARSB= | 1,540.0 | 1.6 |
An index tracking Latin American equities was heading for a more than two-week high on Tuesday, supported by gains in Brazil and Mexico that outweighed weakness elsewhere in the region, as investors looked past expanded U.S. sanctions on Iran.
U.S. Treasury Secretary Scott Bessent's fresh measures on Monday to stifle Iran economically had limited impact on markets, as Washington stopped short of imposing any penalties on Tehran's trading partners.
The Brazilian benchmark .BVSP advanced 1.4% on broad-based gains, while Mexican stocks .MXX rose 0.8%, extending their recovery for a fifth session after last week's selloff sparked by a surge in U.S. Treasury yields and escalating U.S.-Iran tensions.
"The overall environment remains supportive for global risk assets, emerging markets and Latin America. Markets have become less sensitive to developments around Iran, while lower oil prices suggest investors see limited risk of a major supply disruption," said Alejandro Cuadrado, Latin America strategist at BBVA.
MSCI's stock index for the region .MILA00000PUS rose 1%, while the currency equivalent .MILA00000CUS was muted.
Currencies in the region were range-bound against the dollar, except the Colombian peso COP= that slipped 1.1%. The peso has outperformed its regional peers in the year so far, supported by a strong rally following the victory of right-wing leader and current president Abelardo de la Espriella in June elections.
Some FX strategists took profit on their bullish Colombian peso trade after the currency reached its target level, saying the risk-reward profile had become less attractive following the recent rally.
"While we do not expect a full and immediate reversal in the recent COP trend, we do believe that it does add a headwind to further appreciation," said FX strategists from BBVA in a note.
The Brazilian real BRL= rose 0.1%, while the Mexican peso was subdued.
Nur Cristiani, head of Latin America investment strategy at J.P. Morgan, said they remain positive on the region, citing record low valuations, limited tech exposure, large rate differentials and a wave of right, pro-business electoral results.
Mexican President Claudia Sheinbaum said on Monday she expects to reach a trade agreement with the U.S., echoing recent comments by U.S. President Donald Trump.
The push for a Mexico-U.S. deal comes as trade tensions flared between Washington and Ottawa, as Canada announced retaliatory tariffs worth $20 billion on U.S. goods after Washington on Saturday imposed 50% tariffs on certain Canadian goods.
"The U.S.-Canada trade spat may benefit Mexico, which comes across as comparatively amenable after taking a more collaborative approach to the mandatory 2026 USMCA joint review," a Tellimer analyst said.
