Yields on Brazilian interest-rate futures extended their weekly drop to the biggest since 2008 as the government planned to reduce returns on savings accounts to facilitate deeper cuts in the benchmark Selic rate.
Argentina is attempting to persuade debt holders to accept a swap offer for the second time this year as the government seeks to regain access to international markets with $7 billion of foreign obligations due next year.
Mexico’s peso fell after a report showing U.S. companies added the fewest number of workers in seven months added to evidence that economic growth in the Latin American nation’s biggest trading partner is slowing.
Mexico’s peso gained the most in two months as the Greek government’s deadline for the biggest sovereign restructuring in history passed with a majority of investors signaling their readiness to participate in the swap.
Mexico’s central bank may say this week that inflation is under control, betting the peso’s world- beating rally will curb price increases and allow policy makers to keep the overnight rate unchanged for six months.
The yen rose against all of its 16 major peers as reports showing a weaker-than-forecast European gross domestic product and an unexpected decline in U.S. industrial production fueled concern about the pace of economic growth, increasing demand for Japan’s currency as a haven.
Mexico’s peso dropped the most in three weeks after a report showed industrial production rose less than forecast and Moody’s Investors Service said it will review the ratings of all European Union countries.