Brazil, Peru, Argentina: Latin America Bond, Currency Preview

By Drew Benson

Sept. 29 (Bloomberg) -- The following events and economic reports may influence trading in Latin American local bonds and currencies today. Bond yields and exchange rates are from the previous day's session.

Brazil: The broadest measure of inflation likely quickened to 0.07 percent in September after prices declined 0.32 percent the previous month, according to the median forecast of 16 economists in a Bloomberg News survey. The Rio de Janeiro-based Getulio Vargas Foundation is slated to release the indicator at 7 a.m. New York time.

The real slid 1.3 percent to 1.8445 per dollar.

The yield on the zero-coupon, real-denominated bond due in January 2010 fell 5 basis points, or 0.05 percentage point, to 14.75 percent, according to Banco Votorantim.

Peru: The central bank sold $1.58 billion in dollars this month to shore up the sol. It also ``postponed debt prepayments due to all this volatility in the exchange rate, because our income is in soles and our obligations are in foreign currency,'' Peru's Finance Minister Luis Valdivieso said Sept. 26.

The sol slid 0.2 percent to 2.9625 per dollar.

The yield on the benchmark 8.6 percent sol-denominated bond due in August 2017 slid 2 basis points to 8.45 percent, according to the local unit of Citicorp.

Argentina: Supermarket sales, which rose 29.8 percent in July from the prior year, will be released for August by the National Statistics Agency at 3 p.m. New York time.

The peso fell 0.1 percent to 3.1159 per dollar.

The yield on Argentina's inflation-linked peso bonds due in December 2033 rose 5 basis points to 10.616 percent, according to Citigroup Inc.'s local unit.

To contact the reporter on this story: Drew Benson in Buenos Aires at Abenson9@bloomberg.net.