By Bruno Federowski
SAO PAULO, Jan 9 (Reuters) - Latin American currencies weakened on Tuesday as the U.S. dollar rebounded from an early 2018 sell-off that drove it to the lowest in more than three months.
Emerging market currencies kicked off the year with a rally as solid economic growth figures drove investors away from the greenback and toward riskier assets.
That move faded in recent days as expectations that the U.S. Federal Reserve will increase rates three times in 2018, potentially draining funds away from high-yielding assets, grew stronger.
Currencies from Brazil , Mexico , Chile and Colombia slipped between 0.2 percent and 0.4 percent on Tuesday.
Stock markets were also down across the region on profit-taking, with Brazil's benchmark Bovespa stock index steering away from all-time records.
Blue-chips, such as lenders Ita?? Unibanco Holding SA and Banco Bradesco SA , and miner Vale SA , led the drop.
Shares of Centrais El?(C)tricas Brasileiras SA were among the biggest declines on news that regulators could ask the state-controlled power utility to return 1 billion reais to government coffers due to irregular subsidies. Key Latin American stock indexes and currencies at 1720 GMT:Stock indexes daily % YTD %
changechange
Latest MSCI Emerging Markets1204.11-0.234.18 MSCI LatAm 2954.27-0.925.43Brazil Bovespa 79048.28-0.423.46Mexico IPC 49680.15-0.630.66Chile IPSA 5697.36-0.142.39Chile IGPA 28662.76-0.122.44Argentina MerVal 32330.61-0.067.53Colombia IGBC 11827.33-0.224.02Venezuela IBC 1290.07 1.54-95.93
Currenciesdaily % YTD %
changechange
Latest Brazil real 3.2475-0.372.03
Mexico peso 19.2900-0.342.12
Chile peso 608-0.431.09Colombia peso 2912-0.202.40Peru sol 3.217-0.060.62
Argentina peso (interbank) 18.9600 0.37 -1.90 Argentina peso (parallel) 19.5 0.41 -1.38 (Reporting by Bruno Federowski; Editing by Tom Brown)
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