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Brazil warns against initial coin offerings; Chilean banks eye perpetual bonds

* Brazilian securities regulator CVM warned that it may punish companies that proceed with so-called initial coin offerings, which typically involve raising funds for cryptocurrency ventures, Reuters reported. The CVM said such offerings are not currently regulated in Brazil.

* Banco de Chile and Banco Santander Chile are considering issuing perpetual bonds, with the latter studying a placement of around $500 million in the international market, industry sources told Diario Financiero.


* Fitch Ratings upgraded Banco Base SA Institución de Banca Múltiple Grupo Financiero Base and Intercam Banco SA Institución de Banca Múltiple Intercam Grupo Financiero's long-term national ratings to A(mex) from A-(mex). The upgrade of Banco Base reflects the growth in the bank's turnover, while Intercam Banco's upgrade is based on the strengthening of the lender's franchise.

* U.S. President Donald Trump said he is open to bilateral trade pacts with either Canada or Mexico if a three-way deal cannot be reached to revise the North American Free Trade Agreement, Reuters reported. "It's possible we won't be able to reach a deal with one or the other, but in the meantime we'll make a deal with one," Trump said, adding that a "very creative" deal was still possible to benefit all three countries.

* Mexico's central bank said it will hold the first session of its Mexican foreign exchange market committee in the coming weeks, El Financiero reported. The meeting will include representatives from major banks and brokers that are involved in the exchange market.

* Conassif, Costa Rica's national council for supervision of the financial system, has decided to extend the appointment of Javier Cascante Elizondo as head of banking regulator Sugef on an interim basis, El Financiero reported. Cascante Elizondo's term was originally set to expire Oct. 16.

* Guatemala's Supreme Court said it will not probe President Jimmy Morales for receiving a monthly salary bonus from the country's defense ministry that was not part of his approved presidential wage, Reuters reported. The president has reportedly returned the bonus payments.


* Brazilian government officials said President Michel Temer is receiving treatment for a minor blockage of a coronary artery, but denied reports that he would go through an angiogram procedure later in October, Reuters reported.

* A federal audit court in Brazil ordered the assets of former President Dilma Rousseff, along with other individuals, to be frozen after it found "irregularities" in state-run oil firm Petrobras' 2006 acquisition of a Texas refinery, Reuters reported.

* In a close 6-5 vote, Brazil's Supreme Court decided that Congress will have the final say on whether sitting legislators should be removed from office, Reuters reported. The ruling marks a victory for politicians who are looking to escape prosecution for alleged corruption.

* Federal tax revenues in Brazil reached 65 billion reais in September, up 7% from the previous month and 10% higher than a year earlier, Folha de S.Paulo reported, citing preliminary government data.

* Moody's placed CCB Brasil Arrendamento Mercantil SA's long-term global local currency issuer rating of Ba1 and long-term Brazilian national scale issuer rating of on review for downgrade. The placement follows a similar action on the ratings of the firm's parent company.


* Banco de Occidente SA said it plans to auction up to 250 billion Colombian pesos of subordinated bonds on Oct. 12. The 96-month, series B bonds will carry an annual interest rate of 385 basis points over the local consumer price index.

* Colombia's Constitutional Court ruled that the country's government must adhere to a peace agreement reached with Marxist FARC rebels in 2016 for the next 12 years, preventing the next three administrations from making any changes to the accord, Reuters reported.

* Bancolombia SA said the offer by Citigroup Global Markets Inc. to purchase for cash up to $750.0 million of Bancolombia's outstanding 6.125% subordinated notes due 2020 and 5.125% subordinated notes due 2022 was fully subscribed as of the Oct. 10 early tender date.

* The vast majority of analysts surveyed by Reuters expect Peru's central bank to hold its benchmark interest rate at 3.50% on Oct. 12. One analyst, however, predicted a cut of 25 basis points.


* PSA Finance Argentina Compañía Financiera SA said it will issue nonconvertible, negotiable bonds for a nominal value of up to 300.0 million Argentine pesos, noting that the issuance is expandable. The bonds will have a maturity of 24 months.

* Credit tied to consumer product purchases in Chile fell 4.7% in the first half of 2017, Diario Financiero reported, citing local banking regulator SBIF. The slowdown was reportedly driven by a new maximum rate for smaller loans, which mainly hit banks in the consumer lending.

* Argentina's finance ministry said it issued $800 million worth of Treasury notes and 22.54 billion Argentine pesos in five-year notes, Reuters reported. Finance Minister Luis Caputo said the government plans to sell $2.6 billion in bonds by late October or early November, "most likely" denominated in euros.

* Center-left politicians in Chile have vowed to come together in support of a single candidate to oppose the conservative Sebastian Pinera in any eventual runoff in presidential elections due later in 2017, Reuters reported.

* Chilean central bank Vice President Sebastián Claro said credit card users, in addition to banks, should also have some responsibility in cases of card cloning fraud, noting that users could become complacent if they are not held accountable, El Pulso reported.

* Argentina's government plans to increase infrastructure investment by 50% in 2018 to 3.5% of GDP, La Nación reported, citing Finance Minister Luis Caputo.


* Latin America is undergoing a recovery process supported by an upturn in commodity prices, improving external conditions, lower inflation in most countries and monetary easing, among other factors, Fitch Ratings said. However, the rating agency noted that most countries are posting below-trend growth, due to lower investment rates and lagging productivity.

* International Monetary Fund economists warned central bankers and financial regulators to remain vigilant as market risks proliferate with the availability of inexpensive debt. Rising public and private debt around the world may constrain central bankers' ability to tighten before the next financial slowdown, the IMF said in a new global financial stability report. Economists at an IMF panel presentation said free trade may not be the panacea for global growth that many believe it to be.

* The World Bank warned that 28 countries in Latin America, including Brazil, will have fiscal deficits at the end of 2017, Valor Econômico reported. The institution recommended that countries enact fiscal reforms and promote investments in infrastructure.


* Asia-Pacific: China bans 5 insurers from funding parents; AMP Capital to revamp equities biz

* Middle East & Africa: QNB, Dubai Islamic Bank Q3 profits up; Saudi insurers face tougher rules

* Europe: EC clears Novo Banco sale; BAWAG IPO price range set; France probes Danske Bank

Mariana Aldano contributed to this article.

The Daily Dose has an editorial deadline of 8:00 a.m. São Paulo time, and scans news sources published in English, Portuguese and Spanish. Some external links may require a subscription.