Latin American Stocks Shake Off Trump Threats-for Now -- WSJ

Dow Jones01-06

By David Wainer

Investors in Latin America are betting that the U.S. operation to oust Venezuela's Nicolás Maduro won't derail the region's strong recent performance.

Despite the Trump administration's saber-rattling in the Western Hemisphere, the region's largest stocks mostly rose, tracking gains in U.S. markets. The S&P Latin America 40 index-home to blue-chip companies such as Brazil's Banco Bradesco and Mexico's Grupo México-was trading more than 2% higher Monday afternoon. The rally builds on a strong run: the iShares MSCI Brazil ETF, for instance, is up more than 40% over the past year.

Currencies across the region were also mostly stronger against the dollar after slipping earlier in the session.

Investors appear to be betting that a ratcheting up of Trump's rhetoric-ranging from threats against Colombia and criticism of Mexico's leadership to predictions of Cuba's government falling-will either blow over or remain confined to specific flashpoints. Regardless, the message from markets is not to panic.

This item is part of a Wall Street Journal live coverage event. The full stream can be found by searching P/WSJL (WSJ Live Coverage).

(END) Dow Jones Newswires

January 05, 2026 14:40 ET (19:40 GMT)

Copyright (c) 2026 Dow Jones & Company, Inc.

At the request of the copyright holder, you need to log in to view this content

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap
Leave a comment