Peru's election results..OTTAWA (Dow Jones)--Any market fallout in Mexico and Latin Americastemming from the election results in Peru should be "short lived," saidMexico central bank Governor Agustin Carstens.
"The blips we are seeing in the market right generated by the issueof Peru will be short-lived, and I am sure Mexican financial marketswill show a strong performance in the months to come," Carstens saidTuesday in a media briefing in Ottawa, where he met with Canadiangovernment officials regarding his candidacy for the managing director'sjob at the International Monetary Fund.
Peruvian stocks fell a record 12.5% on Monday on fears over increasedgovernment intervention in the economy after Ollanta Humala's victory inSunday's runoff election to become Peru's next president.
The victory by the left-leaning Humala triggered nervousness in LatinAmerican markets that sweeping changes could be afoot in one of theregion's better-performing economies.
Mexican stocks took a big hit on Monday, led in part by a drop inGrupo Mexico, the copper mining company with interests in Peru. Humalacampaigned on higher taxes on the mining industry.
Equity markets in Latin America rebounded Tuesday following a volatile Monday.
-By Paul Vieira, Dow Jones Newswires: 613-237-0669; paul.vieira@dowjones.com