The Honduras deal, which calls for national unity government and agreement on Nov. 29 elections, pushes back against the dominant narrative of waning US clout in region.
Commodities-hungry China is pulling Brazil, Chile, and others out of recession. But Mexico and Central America, dependent on US sales, are lagging.
Roberto Micheletti's interim government shut down two media outlets today after it issued a new decree to suspend freedom of speech if it 'disturbs the peace.'
By allowing ousted Honduran President Manuel Zelaya to hole up in its embassy, Brazil has thrust itself into the middle of Latin America's most volatile political crisis.
Ousted President Manuel Zelaya chose to hole up in Brazil's embassy out of concern that his ties to Venezuela's Hugo Chávez would diminish his support in Honduras.
Exiled President Zelaya has set up camp on the Nicaraguan border to keep up pressure on interim government.
Manuel Zelaya's rhetoric may make this weekend's talks more difficult and could spark violence in the tense and divided country, analysts say.
Costa Rican President Oscar Arias says he is 'determined to have a resolution,' but that it may take some time.