AES Tiete, Banco Macro, Cesp, Cresud: Latin Equity Preview

By James Attwood and Paulo Winterstein

Nov. 17 (Bloomberg) -- The following companies may have unusual price changes today in Latin America trading. Stock symbols are in parentheses and share prices are from the previous close. Preferred shares are usually the most-traded class of stock in Brazil.

The MSCI Latin America Index rose 0.5 percent on Nov. 14 to 2,023.2. Markets in Colombia and Mexico are closed today for holidays.

Argentina

Banco Macro SA (BMA AF), Grupo Financiero Galicia SA (GGAL AF) and BBVA Banco Frances SA (FRAN AF): Moody's Investors Service said it has a negative outlook for the Argentine banking industry. Argentine banks face ``a new period of volatility'' as liquidity has fallen, analysts including Maria Andrea Manavella wrote in research note. Macro fell 1.2 percent to 3.40 pesos. Galicia slid 0.7 percent to 71.5 centavos. Frances was unchanged at 3.17 pesos.

Cresud SACIF y A (CRES AF): Agco Corp., South America's largest supplier of tractors and combines, said some Argentine farmers will go out of business next year because of high taxes and export restrictions. As many as 50,000 farms may stop operating, Agco Chief Executive Martin Richenhagen said in a Nov. 14 press conference. Cresud, which farms wheat, corn and soybeans, was unchanged at 1.95 pesos.

Brazil

AES Tiete SA (GETI4 BS): The power generation unit of AES Corp. was reiterated a ``buy'' at Ativa Corretora, which said third-quarter results showed improving margins and better cost controls. Tiete rose 5 percent to 13.42 reais.

Cia. Energetica de Sao Paulo (CESP6 BS): The power generator and distributor controlled by the state of Sao Paulo reported a loss of 114.2 million reais ($50.6 million) in the third quarter. The company was expected to lose 37.6 million reais, the average of six estimates compiled by Bloomberg. Cesp rose 1.7 percent to 13.70 reais.

Cia. Siderurgica Nacional SA (CSNA3 BS): The third-largest Brazilian steelmaker said third-quarter profit fell 94 percent to 40 million reais. The results exceeded the average forecast of four analysts in a Bloomberg survey, who expected a loss of 65.8 million reais. CSN rose 0.8 percent to 23.20 reais.

Petroleo Brasileiro SA (PETR4 BS): Brazil's state-controlled oil company said its monthly oil production declined in October after reaching a record the previous month. Total daily domestic output fell to 2 million barrels a day in October, from 2.02 million barrels in September. Petrobras fell 1.6 percent to 20.76 reais.

To contact the reporters on this story: James Attwood in Santiago at jattwood3@bloomberg.net; Paulo Winterstein in Sao Paulo at pwinterstein@bloomberg.net.