* Dollar slips after U.S. July jobs data * Brazil real to slowly reverse gains – poll * Argentina agrees $775 mln Qatar loan for IMF repayment * Latam FX up 0.8%, stocks up 0.3% (Updated at 1907 GMT) By Ankika Biswas and Amruta Khandekar Aug 4 (Reuters) – Latin American currencies gained on Friday as the dollar eased following news of slowing U.S. job growth, with Brazil’s real rebounding from declines following a surprisingly large interest rate cut by the central bank. The MSCI index for Latam currencies gained 0.8% as the dollar slipped after a U.S. government report showed a moderate pace of job additions in July, bolstering bets the Federal Reserve is less likely to raise its policy rate any further this year. However, the currency index was set for its biggest weekly loss since June 2022 after recent rate cuts by Brazil and Chile raised concerns about a risk to carry trade and as a U.S. credit rating downgrade weighed on sentiment. The Mexican peso gained 1.5% after a four-day losing streak that analysts largely attributed to a strong dollar and some weakness after a stellar run so far this year. “One of the reasons why the Mexican peso got so strong was because most of the other high yielders have their own stories going on, which cloud the picture,” said Clive Ponsonby, currency fellow at research publisher Hedder, highlighting currency restrictions in Brazil. “We had this big run of appreciation (in the MXN) and now it’s giving some of that back but it’s still relatively stable. The trend hasn’t really turned yet.” Mexican data showed gross fixed investment rose 4.5% in May from the previous month. Brazil’s real jumped 1%, bouncing back from Thursday’s slide following a bigger-than-expected interest rate cut. A Reuters poll showed Brazil’s real is set to slowly reverse this year’s solid appreciation as policymakers embark on a monetary easing campaign. Real interest rates remain attractive in Brazil while economic growth is supported by booming exports and the new government’s push for tax reforms, said Gustavo Stenzel, director of Latin America strategy, Franklin Templeton Emerging Markets Equity. Colombia’s peso jumped 3.4%, after four straight days of losses, likely boosted by higher oil prices. Colombia’s inflation is expected to have slowed in July, another Reuters poll showed. Elsewhere, Argentina agreed with Qatar on a $775-million loan to make an International Monetary Fund repayment due this Friday. The MSCI index for Latam stocks gained 0.3%, but was poised for weekly losses, led by Argentine equities . Key Latin American stock indexes and currencies at 1907 GMT: Stock indexes Latest Daily % change MSCI Emerging Markets 1018.57 0.27 MSCI LatAm 2456.48 0.34 Brazil Bovespa 119856.52 -0.6 Mexico IPC 53943.40 0.93 Chile IPSA 6296.89 0.38 Argentina MerVal 452230.20 2.427 Colombia COLCAP 1167.07 -0.58 Currencies Latest Daily % change Brazil real 4.8682 0.63 Mexico peso 17.0870 1.38 Chile peso 849.5 0.15 Colombia peso 4034 3.36 Peru sol 3.6776 0.71 Argentina peso 279.2500 -0.41 (interbank) Argentina peso 569 0.18 (parallel) (Reporting by Ankika Biswas, Amruta Khandekar and Shristi Achar A in Bengaluru Editing by Alistair Bell)
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