By Lisa Pauline Mattackal

Feb 17 (Reuters) - Most Latin American currencies slipped against the dollar on Monday, giving up some ground gained in the previous session as investors gauged the path of U.S. interest rates and how long a temporary reprieve from U.S. President Donald Trump's tariffs could last.

Meanwhile, focus remained on geopolitics, as investors awaited the outcome of discussions to resolve the Russia-Ukraine conflict.

In Latin America, Chile's peso CLP= dropped 1%, snapping a nine-session winning streak as copper prices fell.

Brazil's real BRBY= lost 0.2% after economic activity data showed that the economy grew 3.8% in 2024, but lost some momentum at the end of the year after the central bank began to hike interest rates. The bank's monetary policy director also reiterated expectations for an interest rate hike of 100 basis points at the next policy meeting.

MSCI's index tracking the region's currencies .MILA00000CUS was up 0.1%, hovering around its highest level since October, while the index tracking regional stocks .MILA00000PUS gained 0.3% to its highest in three months.

Most regional currencies and stock indexes notched weekly gains on Friday, after a bigger-than-expected drop in U.S. retail sales rekindled hopes for multiple Federal Reserve rate cuts this year.

The delayed implementation of reciprocal U.S. tariffs also brought some relief despite continued uncertainty over how and when Trump's administration will proceed.

"Markets greeted Trump’s plans for reciprocal tariffs with some skepticism, while perhaps focusing instead on the delay in timing to April and with that possible room for negotiations between countries," said Michael Wan, senior currency analyst at MUFG.

The trade-sensitive Mexican peso MXN=D3 lost 0.1%, while the main stock index .MXX slipped 0.2%.

Meanwhile, Argentina's benchmark index .MERV slumped 3.4% after lawmakers said President Javier Milei could face an impeachment trial after touting the $LIBRA cryptocurrency which crashed soon after.

Peru's sol, however, PEN= rose 0.4% after data on Saturday showed the economy grew more than expected in December.

Trading was light, with U.S. markets closed for a holiday.

RUSSIA PEACE TALKS EYED

The rouble' s recent rally stalled ahead of the discussions, with the currency RUB= losing 0.4% against the dollar.

Prices of Ukraine's sovereign dollar-denominated bonds dropped, with the 2036 maturity XS2895057334=TE losing 0.9 cents to trade at 68.085 cents on the dollar, its biggest daily fall this year.

Still, hopes for an end to the three-year conflict lifted stocks in Europe, despite uncertainty as the region's leaders met for an emergency summit and Ukraine President Volodymyr Zelenskiy dismissed the talks.

Polish stocks .WIG20 jumped to their highest since 2018, and the PX Prague SE Index .PX hit a fresh record high.

"We expect any confidence boost for markets to be short-lived, even under an acceptable deal. ... However, sustainable peace could give a boost to consumption and investments, especially if it coincided with lower energy prices," analysts at Danske Bank said.

HIGHLIGHTS

** Ethiopia bondholders say IMF report 'artificially' creates solvency issue

** Mexican tequila makers fret as US tariffs threaten their business

** China's tech rally rests on 'hot money'

Key Latin American stock indexes and currencies at 1525 GMT:

(Reporting by Lisa Mattackal in Bengaluru; Editing by Mark Porter)

((LisaPauline.Mattackal@thomsonreuters.com;))