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EMERGING MARKETS-Brazil's real, Chile's peso lead Latam higher on commodity gains

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* Chile's copper exports jump more than 35% in November * Brazil's central bank seen hiking rates on Wednesday * Higher oil prices support Colombia's peso By Shashank Nayar and Ambar Warrick Dec 7 (Reuters) - Brazil's real and the Chilean peso led gains across Latin American markets on Tuesday as liquidity-boosting measures by China helped support sentiment, while data also showed inflation appeared to be cooling in the two countries. The real and the peso rose about 0.8% each, after the Chinese central bank's decision to cut bank reserve requirements supported metal prices on hopes that economic activity in China would pick up. China is among the top metal consumers in the world, and improving economic conditions there point towards more demand for commodity exports from Latin America. Signs of cooling inflation in Brazil and Chile further supported sentiment. A private survey showed Brazilian inflation fell in November, while separate data showed Chilean consumer prices grew at a slower pace in November from the prior month. In Brazil, investors were awaiting an interest rate hike of 150 basis points by the central bank on Wednesday. The bank has been among the most aggressive emerging market central banks this year in hiking rates to curb inflation. "Brazil is trying to ride out the hump in this spike in inflation, and they can't be seen to be curtailing their tightening cycle when headline inflation is powering ahead, which could leave inflation expectations vulnerable," said Chris Turner, global head of markets at ING. "They're probably expecting to see a turn in inflation by Q2 (2022), and the market is looking at rate cuts in 2023. But job No.1 at the moment is keeping a lid on inflation expectations." Central banks across emerging markets have hiked interest rates several times this year to help curb rising inflation pressures brought about by soaring energy costs and supply-side problems. Chile, the world's top copper exporter, saw copper exports soar more than 35% to $4.92 billion in November, the Andean country's central bank said, further supporting its currency. Oil exporter Colombia's peso added 0.6% as crude prices rose nearly $2 a barrel, extending a rebound as concerns over the impact of the Omicron coronavirus variant on global fuel demand eased. MSCI's index of Latin American stocks and currencies gained 0.9% and 0.3%, respectively. Key Latin American stock indexes and currencies: Latest Daily % change MSCI Emerging Markets 1232.22 1.5 MSCI LatAm 2107.54 0.94 Brazil Bovespa 107907.56 0.98 Mexico IPC - - Chile IPSA 4402.54 0.77 Argentina MerVal - - Colombia COLCAP 1430.66 -0.09 Currencies Latest Daily % change Brazil real 5.6462 0.80 Mexico peso 21.2610 -0.25 Chile peso 838.4 0.84 Colombia peso 3905.2 0.61 Peru sol 4.0738 0.09 Argentina peso 101.3500 -0.05 (interbank) (Reporting by Shashank Nayar in Bengaluru Editing by Paul Simao)

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