EMERGING MARKETS-Robust copper prices lift Chile's peso ahead of rate decision

* Chile cenbank to cut interest rate by 75bps in April - poll * Producer prices in Brazil rise 0.06% in February * Markets in Argentina closed for Veteran's Day * Latam FX up 0.2%, stocks add 0.3% By Bansari Mayur Kamdar April 2 (Reuters) - The Chilean peso rose on Tuesday, boosted by strong copper prices, ahead of a central bank decision where the Andean nation's policymakers are expected to cut interest rate by 75 basis points. The currency of the world's largest copper producer Chile rose 0.7% against the greenback. Strong factory data from China and plans to cut production by smelters in the top consumer triggered buying, boosting the red metal's prices and offsetting the resilient dollar. Investors awaited the central bank's rate decision later in the day, with Chilean policymakers expected to cut the benchmark interest rate to 6.50%, after lowering it by 100 basis points in January. "With inflation around target, inflation expectations anchored at 3%, and the output gap closed, we expect the MPC (Monetary Policy Committee) to maintain their guidance for the policy rate to reach its neutral level in the second half of 2024," said economists at Goldman Sachs in a note. The Chilean peso has fallen nearly 10% so far this year and is among the worst performing currencies in the region. Chile's stock market IPSA eased 0.6% after hitting a record high in the previous session. The MSCI's index for Latin American currencies advanced 0.2%, while stocks gained 0.3%. The Brazilian real added 0.2% against the greenback. Data showed Brazil's producer price index rose 0.06% in February, after falling 0.24% in the previous month. Oil producers Mexico and Colombia's pesos climbed 0.1% and 0.4% against the dollar, supported by firm crude prices on supply concerns after Ukrainian attacks on Russian energy facilities and the escalating conflict in the Middle East. Argentina's currency, stock, bond and grain markets remained closed on Tuesday for Veteran's Day. Elsewhere in emerging markets, Fitch Ratings maintained Israel's 'A+' sovereign credit rating on Tuesday and removed the country from "rating watch negative" (RWN) but said the war in Gaza remained a risk. Suspected Israeli warplanes bombed Iran's embassy in Syria on Monday, adding to concerns about geopolitical tensions. Egyptian President Abdel Fattah al-Sisi was sworn in for his third term in the country's new capital. Key Latin American stock indexes and currencies at 1420 GMT: Stock indexes Latest Daily % change MSCI Emerging Markets 1049.86 0.75 MSCI LatAm 2518.23 0.34 Brazil Bovespa 127298.08 0.24 Mexico IPC 57634.67 -0.03 Chile IPSA 6596.48 -0.62 Colombia COLCAP 1367.68 0.93 Currencies Latest Daily % change Brazil real 5.0456 0.25 Mexico peso 16.5965 0.09 Chile peso 978.2 0.61 Colombia peso 3848.34 0.29 Peru sol 3.7213 -0.25 (Reporting by Bansari Mayur Kamdar in Bengaluru; Editing by Devika Syamnath)