Emerging Markets-LatAm assets advance after softer US inflation dims Fed rate hike bets

Latin America's performance stands apart from Asia, where heavy inflows into AI-aligned stocks have driven this year's rally. That same AI exposure, however, makes Asian markets more susceptible to sharp pullbacks when enthusiasm wanes — a risk Latin America has largely avoided.

The Argentine peso ARS=RASL gained 0.4%, with investors awaiting the country's inflation figure later in the day.

Meanwhile, Venezuela will tweak its macroeconomic and debt framework to incorporate the economic impact of last month's earthquakes, economic adviser Calixto Ortega said on Monday.

Most Latin American assets advanced on Tuesday as a softer-than-expected U.S. inflation report weighed on the dollar, while higher commodity prices further supported markets in the resource-rich region.