EMERGING MARKETS-Latam stocks, currencies start data-heavy week on lackluster note

(Updated at 1507 GMT) * Argentine dollar bonds rally on Milei's new reform push * Brazil's CB chief: services inflation is attention point * Latam stocks off 0.3%; FX flat By Johann M Cherian March 4 (Reuters) - Latin American assets got off to a lackluster start to the week on Monday with the focus on data releases including inflation numbers from Mexico, Colombia and Chile, while an interest rate cut by Peru's central bank is also on the cards. The index tracking Latam currencies was unchanged against the dollar at 1507 GMT. Brazil's real inched up 0.1%. Data showed consumer prices in Sao Paulo, the country's most populous city, rose 0.46% in February, in line with January's increase. Separately, local central bank chief Roberto Campos Neto said that though inflation continues to converge towards the regulator's target of 3%, services price growth was still higher than before the pandemic. Peru's sol climbed 0.2% as traders positioned themselves for a monetary policy decision by the local central bank on Friday, where economists polled by Reuters expect a 25 basis point rate cut. Bucking the trend, copper exporter Chile's peso weakened 0.9% as prices of the metal steadied against a backdrop of demand uncertainty in top consumer China. Also on investors radar will be China's annual parliamentary meeting where moderate stimulus plans to stabilise growth are expected, given slowing growth and a property crisis. Regional oil major Mexico's peso was flat while Colombia's peso slipped 0.2% ahead of respective February inflation reports on Thursday. "The more interesting story would be the Colombian print, because it has been the most stubborn inflation dynamic in the region and then at some point last year, it started to look more like a case of stagflation," said Eduardo Ordonez Bueso, EM debt portfolio manager at BankInvest. Following a 22% rally in 2023, the MSCI Latin American currencies index has eased around 0.2% so far this year, pressured by uncertainty over the timing of interest rate cuts in developed markets that has led the dollar higher. MSCI's gauge of Latin American equities lost 0.3%, with Brazil's Bovespa down 0.6% as mining giant Vale fell 0.3%. Mexico's benchmark index crept up 0.2% but Colombia's Colcap dipped 0.2%. Argentina's dollar bonds surged after President Javier Milei vowed to "speed up" plans to overhaul the country and solve its economic woes in a fiery speech to Congress late on Friday. The country's equities index also advanced 2.6% Stock indexes Latest Daily % YTD % change change MSCI Emerging Markets 1030.41 0.56 0.09 MSCI LatAm 2524.79 -0.31 -4.89 Brazil Bovespa 128431.50 -0.58 -4.29 Mexico IPC 55651.63 0.21 -3.02 Chile IPSA 6440.95 -0.62 3.9 Argentina MerVal 1082638.57 2.624 16.45 Colombia COLCAP 1284.48 -0.15 7.6% Currencies Latest Daily % YTD % change change Brazil real 4.9471 0.14 -33.03 Mexico peso 17.0036 0.04 15.85 Chile peso 973.6 -0.76 -36.87 Colombia peso 3947.3 -0.19 -24.45 Peru sol 3.7664 -0.29 -14.06 Argentina peso 844.0000 -0.12 -97.80 (interbank) Argentina peso 1015 3.45 -98.11 (parallel) (Reporting by Johann M Cherian in Bengaluru; Editing by Kirsten Donovan)