Lima Stock Exchange closes with losses after concerns about the demand for raw materials from China

The Lima Stock Exchange (BVL) closed Monday’s session with losses, amid a global advance of the dollar and concerns about the demand for raw materials by China.

At the end of the operations, the S&P/BVL Peru General Index, the most representative of the Lima stock market, fell by 1.26% to 20,223.2 points.

Similarly, the S&P/BVL Peru Selective Index, which is made up of the most traded shares in the local market, fell by 1.35% and stood at 534.16 units.

During the session, shares of 55 companies were quoted, of which 20 rose, 17 fell and 18 did not register a variation.

The sectors that presented gains were: financial (0.17%) and construction (0.04%).

On the other hand, the segments that fell were: mining (-4.13%), services (-0.70%), electricity (-0.70%), consumption (-0.48%) and industrial (-0 .41%).

Among the local stocks that rose the most were Luz del Sur (1.45%), Corporación Aceros Arequipa (1.39%) and Minsur (1.12%).

In contrast, those that fell are Ferreycorp (-1.35%), Empresa Siderúrgica del Perú (-1.20%) and Alicorp (-0.98%).

US stocks rose on Monday to start a key week in which Wall Street awaits earnings from some of the biggest companies in the market.

Cesar Romero, Head of Research at Renta4 SAB, comments that US Treasury yields rose on Monday after a relentless surge last week that saw the 10-year note temporarily hit a 14-year high above 4.3%.

“On Friday, the Wall Street Journal reported that some Federal Reserve officials were concerned about the pace of interest rate hikes ahead of their November meeting, causing stocks to rally to end a winning week.”

At regional level

Latin American currencies closed lower on Monday, amid a global advance in the dollar and concerns about China’s demand for raw materials, on a day when Brazil’s currency, the real, led declines due to increased political tension and the Colombian peso hit a new record low.

The dollar indexwhich measures the greenback against a basket of six major currencies, moderated early gains and rose about 0.15%.

Stocks were mostly extending a rebound that began late Friday in New York on reports that the Federal Reserve is debating when to slow the pace of gains and could step back at its November meeting.