MEXICO CITY, Feb 6 (Reuters) - Latin American stocks mostly shrugged off worldwide market volatility on Tuesday, supported Wall Street indexes repeatedly swung from positive to negative territory during the session, recovering from the biggest one-day declines in the Dow and S&P 500 in more than six years. Emerging markets stocks are so far weathering the storm and Latin American observers were cautiously optimistic.
"This crash, in my view, is not essentially bullish USD," Santander Brasil director Sandro Sobral wrote in a client note. "Let's see if panic comes. In this case, we're going to use this move to take risk in Brazil." Brazil's benchmark Bovespa stock index rose 2.48 percent on Tuesday, as shares of private bank Itaú Unibanco Holding SA jumped after it forecast strong results and said it was raising its dividend. Shares of other banks, such as Banco do Brasil SA and Banco Bradesco SA, followed along.
Most other stock indexes in the region seesawed, with Argentina's Merval up after losing over 10 percent in the prior two trading days. Mexico's S&P/BMV IPC index, tumbled 2.16 percent, adjusting to the recent selloff following a local holiday on Monday.
Latin American stock indexes at 2230 GMT:
Stock indexes Latest Daily YTD pct pct
MSCI Emerging Markets 1,176.18 -2.74 1.53 MSCI LatAm 3,078.92 0.32 8.87 Brazil Bovespa 83,894.04 2.48 9.81 Mexico IPC 49,304.94 -2.16 -0.10 Chile IPSA 5,697.28 -0.6 2.38 Chile IGPA 28,720.16 -0.6 2.64 Argentina MerVal 31,624.18 1.54 5.18 Colombia IGBC 11,760.91 0.36 3.43 Venezuela IBC 3,082.30 1.93 144.02
(Reporting by Bruno Federowski; editing by Grant McCool)