Latin American Shares Fall, Led by Southern Copper, on Metals

Latin stocks fell for the first time in three days, as mining companies including Peru's Southern Copper Corp. declined along with global metal prices.

The Morgan Stanley Capital International index of Latin American shares slid 1.1 percent to 4,450.03. Indexes in Argentina, Mexico and Peru fell more than 1.6 percent each. Brazilian markets were closed for a holiday.

Southern Copper, the world's fifth-largest copper producer, lost 5.4 percent to $107.80 as copper futures fell 6.4 percent, the most in three months, in New York. Mines in Chile, the world's biggest producer of the metal, resumed production today, reversing the surge in metals prices that came after an earthquake yesterday.

``The market here is following commodity prices and what's going on overseas,'' Manuel Aldave, who helps manage $200 million in equities for BBVA Fondos Continental in Lima, said by phone today. ``People are reacting short term. No-one wants to take a longer term view because of everything that's happening internationally.''

U.S. stocks fell for a second day after Wells Fargo & Co., the second-largest U.S. mortgage lender, said the housing market is the worst since the Great Depression and oil prices slumped on an unexpected rise in inventories.

The Bolsa in Mexico, which sells about 80 percent of its exports in the U.S., retreated for the first time in three days, losing 1.6 percent to 29,170.90. Grupo Mexico SAB, Mexico's largest copper miner and the parent of Southern Copper, dropped 5.5 percent to 74.69 pesos. Industrias Penoles SAB, the country's largest silver miner, fell 5.8 percent.

In other Latin American markets, the main indexes in Argentina, Chile and Peru fell, while those in Colombia and Venezuela rose.
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