Lojas Renner jumps on share offer plan as global stock markets rally

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Lojas Renner jumps on Share Offer Plan SQM rises; PE firm makes bid to become top shareholder Latam FX rallying on Friday, joining global stock markets that had national records as upbeat data from the world's two biggest economies raised economic recovery hopes while most regional currencies reversed losses to trade higher. MSCI's index of Latam stocks hit two-month highs and looked to end the week in the black for the third straight week as did its currencies counterpart. The Brazilian Bovespa Index was boosted by an 8.5% boost in shares of apparel retailer Lojas Renner, which confirmed a share offering plan. The company plans to raise around 4.5 billion reais in the follow-on, a source familiar with the matter said. But Petrobras shares fell as oil prices weighed down. The board of directors elected four career executives to head key divisions of the company, sending a message of some continuity to a market that is wary of non-expert appointments to lead the company. Chile's index hit highs not seen since January last year with shares of lithium miner Sociedad Quimica y Minera de Chile, known as SQM, up 1.4% and 2.4%, respectively. Reuters reported exclusively that the Brazilian private equity firm IG 4 Capital has conducted a$ 916 million bid to buy into holding companies that have large stakes in the second largest lithium producer in the world. Global stock markets notched all-time highs as strong U.S. and Chinese economic data supported expectations of a robust global recovery from a coronavirus-induced slump. Most Latin American currencies erased session losses as the dollar fell on declining bond yields, but the peso of Chile overperformed on the day, down 0.7%, as copper prices fell 1%. Brazil's general rupees increased to a fourth straight session to extend gains, putting it on track for weekly gains of about 1.8%- the best among the main currencies this week. However, an unabated rise in COVID-19 infections and the government's prediction of three straight years of economic deficits underscored the long road to economic normalcy in Latam's largest economy. While aid programmes are arguably necessary, owing to the continued escalation of the COVID-19 crisis, the lack of progress in extending the measures highlights how poorly the administration is dealing with the Congress, wrote analysts at TS Lombard in a note. It also highlights the possibility that Congress will continue to push for more spending. Despite the easing pressure, most emerging market currencies are still trading down for the year as large spikes in yields from risk-exposed debt spurred initial outflows. Current daily change MSCI Emerging Markets 1348.91 0.58 Brazil IPC 48786.23 0.56 Chile PSA 4991.25 0.99 Peru sol 3.6327- 0.22 Argentina peso 903.1- 0.77 Colombia peso 3601.27 0.26 Argentina peso 92.7900- 0.06 Brazil

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