SAO PAULO, June 28 (Reuters) - Brazilian markets seesawed on Wednesday as traders awaited further clues over the future of President Michel Temer's economic reform plans amid a political crisis. The Brazilian real strengthened 0.6 percent after trading near flat earlier in the session. The country's benchmark Bovespa stock index fell as much as 0.4 percent before rebounding to gain 0.5 percent at its peak. A growing corruption scandal has fueled bets of delays to the implementation of planned reforms of the country's pension system and labor laws. Still, the labor revamp is expected to pass a vote on a congressional committee on Thursday, paving the way for a full-house vote in the Senate next week. Shares of college operator Estácio Participações SA slid 2 percent, the biggest decliner on the Bovespa index, as regulators looked set to veto a tie-up with larger rival Kroton Educacional SA, whose shares rose 1.2 percent. A person with direct knowledge of the situation told Reuters that Brazil's antitrust watchdog Cade believes the transaction, which would lead to the creation of the world's No. 1 for-profit education company by number of students and market capitalization, is not politically palatable. Trading was muted in most other Latin American markets, with most currencies edging slightly up on the back of higher prices of commodities from copper and iron ore to crude. The Mexican peso firmed 0.7 percent to 17.87 per dollar after briefly breaching on Tuesday the psychological barrier of 18 per greenback.
Key Latin American stock indexes and currencies at 1630 GMT:
Stock indexes Latest Daily YTD pct pct
MSCI Emerging Markets 1,012.18 -0.44 17.91 MSCI LatAm 2,529.28 0.62 7.39 Brazil Bovespa 61,846.71 0.28 2.69 Mexico S&P/BVM IPC 49,250.15 0.33 7.90 Chile IPSA 4,762.97 0.07 14.73 Chile IGPA 23,855.51 0.07 15.05 Argentina MerVal 21,378.05 0.71 26.36 Colombia IGBC 10,772.17 1.02 6.36 Venezuela IBC 121,949.09 -0.39 284.63 Currencies Latest Daily YTD pct pct
Brazil real 3.2997 0.55 -1.53 Mexico peso 17.8680 0.67 16.10 Chile peso 662.41 0.11 1.25 Colombia peso 3,018.8 0.21 -0.57 Peru sol 3.251 0.15 5.01 Argentina peso (interbank) 16.3650 0.21 -2.99 Argentina peso (parallel) 16.61 0.66 1.26
(Reporting by Bruno Federowski)