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Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum -- Ignore unavailable to you. Want to Upgrade?

To: Snowshoe who wrote (72190)	3/20/2011 3:09:21 AM
From: TobagoJack	Read Replies (1) \| Respond to of 217837

yeup i cannot remember whether we are supposed to buy oil / sell uranium or the other way around, or was it wind and sun, gas and coal, or whatever n just buy or sell all it is getting to be biblical ;0)

To: Snowshoe who wrote (72190)	3/20/2011 6:23:56 AM
From: elmatador	Respond to of 217837

Latin America can weather Japan, Mideast crises * Latin America enters turmoil from point of strength * Weaker capital flows could help inflation fight for some By Jason Lange and Brad Haynes MEXICO CITY/SANTIAGO, March 18 (Reuters) - Latin America's economy is performing strongly enough that Japan's earthquake disaster and turmoil in the Arab world pose only limited risk and might even help policymakers control inflation. Like the rest of the world, Latin America is worried about the nuclear power plant crisis in tsunami-devastated Japan, a civil war in Libya, and general unrest across the Middle East. The resulting global market jitters have helped shave almost 2.0 percent off the Brazilian real BRL=BRBY in the last two weeks. Chile's peso CLP=CL is down 1.5 percent and Mexico's currency MXN= is off 0.5 percent. But economic data on Friday, together with comments by central bankers and senior officials, suggest strong growth will continue in Latin America's larger economies even if disruption to global supply chains affect some manufacturers. That means the region is likely to keep raising borrowing costs, highlighted by Colombia's move on Friday to raise its benchmark interest rate to a one-year high. [ID:nN18281303] Weaker exchange rates in Latin America, where policymakers have fretted for months about heavy inflows of foreign capital, could allow more room to raise interest rates to fight inflation and potential asset bubbles. "A less benign global backdrop is probably a helpful thing, perhaps to head off over-exuberance and to clear up the threat of bubbles," said Neil Shearing, an emerging market economist at Capital Economics in London. Arab unrest has fueled a surge in oil prices, raising fears about a possible impact on the U.S. economy. Latin America, however, is seen as less vulnerable to higher energy prices because of its substantial production of oil and natural gas. The region's biggest countries weathered the global financial crisis better than many developed economies because its governments have improved fiscal responsibility and borrowed more in their own currencies in recent decades. It was a reversal of fortunes after Latin American sovereign debt crises of the past 30 years. Heavy Asian demand for commodities and greater investor trust lead to rapid recoveries in economies like Brazil and fears of overheating. Crises in Japan and the Arab world may add to efforts by Latin American central banks to cool economies, albeit in ways they would probably rather avoid. In Mexico's Jalisco state, a Honda Motor Co Ltd (7267.T) factory may suspend up to half its workforce as inventories run low following Japan's disaster, a company spokesman told Mexico's Reforma newspaper. [ID:nN16116794] "There could be a temporary interruption in production chains," Brazil's central bank chief Alexandre Tombini said on Thursday. Chile's economy slowed its breakneck-pace of growth in the fourth quarter, data showed on Friday, but high copper prices and domestic demand are expected to fuel an acceleration. Growth was still up 5.8 percent from a year earlier. "The economy is back on its feet and we have created a record number of jobs," said Finance Minister Felipe Larrain. [ID:nN18218847] RATE HIKE Confronted by the strong growth outlook, Chile's central bank raised interest rates more than expected on Thursday. Across the region, policymakers have been wary of rate hikes because they could attract more capital flows from abroad, boosting currencies and the risks of asset bubbles. But in a sign of a shifting mind-set on interest rate policy, Chile's central bank omitted reference to the peso in its monetary policy statement for the first time since August. "They preferred to go this course of higher rates, perhaps understanding the currency appreciation may dissipate somewhat with the instability coming from Japan (and) the Middle East," said Enrique Alvarez, Latin American strategist at IDEAGlobal in New York. Prospects for Chile's main export, copper, are seen as safe because they can be re-routed to other hungry markets. In addition, Japan's copper demand could soar when the country's rebuilding is under way. [ID:nN17235416] Heavy global demand for grains helped Argentina's economy grow 9.2 percent in 2010. [ID:nN18257577] Brazilian policymakers, like their Chilean counterparts, have raised rates repeatedly. But Brazil's economy appears to be slowing more dramatically than forecast because of high consumer prices, budget cuts and spiking petroleum costs. That is likely to prompt a more dovish stance from the central bank in coming months. Peru's central bank, which has also hiked rates, on Friday raised its forecast for economic growth this year. [ID:nN18105269] Central Bank President Julio Velarde said the impact of the crisis in Japan "should be light" so long as its nuclear accident does not worsen. Policymakers in Mexico, in minutes released on Friday from the central bank's March 4 policy review, said worries are growing about price pressures caused by local crop failures and high commodities prices. They noted the fast-growing economy is quickly approaching the point where it will fuel higher inflation. [ID:nN18261039] "This is a central bank that has its finger on the trigger," said Alonso Cervera, economist at Credit Suisse in New York, who expects the bank to hike before year end. Most other analysts see Mexican policymakers waiting until early 2012. (Additional reporting by the Lima, Santiago and Mexico City newsrooms; Writing by Jason Lange; Editing by Andrew Hay)