EMERGING MARKETS-Brazil stocks fall again on profit-taking

SAO PAULO, Sept 28 (Reuters) - Brazilian stocks fell for a sixth straight session on Thursday extending a wave of profit-taking that followed a string of record highs earlier this month. Brazil's benchmark Bovespa stock index fell 3.1 percent in six days, the largest such decline since May. Blue chips and state-owned firms, which have led this year's rally, were among the biggest decliners. Shares of miners and steelmakers also fell sharply, tracking lower iron ore prices. The selloff came on the heels of fading optimism over President Michel Temer's reform agenda, for many investors a key step to boosting long-term economic growth. Lawmaker support for Temer, who is facing corruption accusations that may send him to trial before the Supreme Court, has declined in the lower house as his approval rates plummeted.

"After several months of market optimism, the political newsflow has soured investor mood," Ignacio Crespo, an economist at Guide Investimentos brokerage, said. The country's currency, however, strengthened 0.5 percent, leading gains among Latin American currencies due to expectations of capital inflows stemming from an oil rights auction and the sale of several power dams.

The Mexican peso firmed 0.1 percent after hitting its weakest since July, while the Chilean peso followed copper prices higher.

Key Latin American stock indexes and currencies at 1755 GMT:

Stock indexes Latest Daily YTD pct pct change


MSCI Emerging Markets 1,073.11 -0.51 25.08 MSCI LatAm 2,888.53 -0.07 23.5 Brazil Bovespa 73,591.42 -0.28 22.19 Mexico S&P/BVM IPC 50,124.64 -0.09 9.82 Chile IPSA 5,309.13 0.18 27.89 Chile IGPA 26,528.67 0.2 27.95 Argentina MerVal 25,550.08 1.1 51.02 Colombia IGBC 11,088.75 -0.04 9.49 Venezuela IBC 474,126.25 2.22 1395.42 Currencies Latest Daily YTD pct pct change


Brazil real 3.1782 0.45 2.23 Mexico peso 18.1850 0.12 14.07 Chile peso 636.05 0.28 5.45 Colombia peso 2,942.35 -0.22 2.01 Peru sol 3.266 0.15 4.53 Argentina peso (interbank) 17.5250 0.31 -9.42 Argentina peso (parallel) 17.93 0.33 -6.19

(Reporting by Bruno Federowski; Editing by Chizu Nomiyama)