*

Brazil inflation slightly exceeds forecasts

*

Peru c.bank cuts interest rate to 5.75% with inflation in

target

*

Argentina's YPF slides on negative 2024 cash flow

*

Stocks flat, FX gain 0.2%

(Updated at 1830 GMT)

By Johann M Cherian and Shashwat Chauhan

May 10 (Reuters) - Currencies and stocks in

resources-rich Latin America traded in a tight range near the

unchanged mark, in a muted end to a data-heavy week, while

Peru's sol slipped following an interest rate decision from the

local central bank.

As of 1830 GMT, MSCI's index for Latin American currencies

climbed 0.2%, though was set for its first

weekly loss in three.

The week was marked with policy decisions by central banks

in the region. Brazil's real dropped to 5.15 to the

dollar and was set for its worst week in four after the central

bank reduced its pace of interest rate cuts, against worries of

upcoming dovish monetary policy influenced by politics.

Concerns of price pressures spiking were also at the

fore, following data that showed

consumer prices in South America's biggest economy rose

0.38% in April, slightly above economists' forecast of a 0.35%

increase.

On the flip side, Mexico's peso was on course for

its best week in over a month, after Banxico took a cautious

stance by

leaving its benchmark interest rates steady at 11.00% on

Thursday, given signs of inflation still above the regulator's

target.

Copper producer Peru's sol weakened 0.7% after the

Andean nation's central bank cut its benchmark interest rate by

an expected 25 bps to 5.75% after inflation slowed to the bank's

target range last month.

"(The) decision is consistent with a central bank that

remains comfortable with the overall dynamics of the

disinflation process," Goldman Sachs analysts wrote.

"The materialization of these cuts will depend on the

stability of the (sol), which remains a crucial input in the

calibration of future policy moves."

Meanwhile, a gauge Latin American stocks

inched up 0.1%, with indexes in Mexico and Brazil

down 0.2% each.

CSN dropped 1.5% after the Brazilian

steelmaker and miner posted a

first-quarter net loss

, hit by lower iron ore and steel prices.

Suzano dropped over 1% after the Brazilian

pulp and paper company, that is seeking to buy U.S.-based

International Paper ( IP ),

reported a 96% decline

in its first-quarter net profit from a year earlier.

Argentina's MerVal index slid 1.5%, with YPF

dropping over 5%, its worst day in over five months,

if losses hold, after the state oil firm said its $5 billion

spending plan for 2024 should push its

free cash flow into negative territory

, similar to that recorded last year.

Key Latin American stock indexes and currencies:

Latin American market prices from

Reuters

Stock indexes Latest Daily %

change

MSCI Emerging Markets 1071.09 0.71

MSCI LatAm 2489.22 0.14

Brazil Bovespa 127866.07 -0.25

Mexico IPC 57711.37 -0.23

Chile IPSA 6641.77 0.18

Argentina MerVal 1412634.66 -1.553

Colombia COLCAP 1393.66 0.47

Currencies Latest Daily %

change

Brazil real 5.1521 -0.20

Mexico peso 16.7819 -0.18

Chile peso 924.9 -0.04

Colombia peso 3887.17 0.01

Peru sol 3.715 -0.78

Argentina peso 882.5000 0.06

(interbank)

Argentina peso 1020 2.45

(parallel)