A demonstrator raises a sign that reads in Spanish "This is not for 30 pesos in fare, it's the drop that overflows the glass" during a protest in Santiago, Chile, Saturday, Oct. 19, 2019. Photo: IC

Three people died in a fire in a supermarket being ransacked in the Chilean capital early Sunday, as protests sparked by anger over social and economic conditions rocked one of Latin America's most stable countries.

Santiago's Mayor Karla Rubilar said two people were burned to death in the blaze and another later died in hospital, after the huge store controlled by US retail chain Walmart was looted.

They were the first deaths in two days of violent unrest in which protesters have set buses on fire, burned metro stations and clashed with riot police in the city of 7 million - despite a curfew imposed overnight.

The unrest was sparked by a hike in metro fares, which increased from 800 to 830 peso ($1.13 to $1.17) for peak-hour travel, after a 20-peso hike in January. 

Chilean President  Sebastian Pinera announced ­Saturday he was suspending the fare hike, after the entire metro system was shut down the day prior with protesters burning and vandalizing dozens of stations, leaving some completely charred.

He appealed to people taking to the streets, saying "there are good reasons to do so," but calling on them "to demonstrate peacefully." "Nobody has the right to act with brutal criminal violence," he said.

But clashes later erupted in Plaza Italia, ground zero of Friday's violence, and outside the presidential palace. Protesters again set buses on fire in downtown Santiago, leading to the suspension of services.

"We're sick and tired of politicians screwing around with us. They only do what they want to do, and turn their backs on reality," said Javiera Alarcon, a 29-year-old sociologist protesting in front of the presidential palace, which was surrounded by police and military vehicles.

Security forces blasted a crowd with water cannon, and riot police wrestled young protesters into vans.

"Having analyzed the situation and the appalling actions that occurred today, I have made the decision to suspend freedoms and movement through a total curfew," said Army General Javier Iturriaga, who is overseeing security during the state of emergency.

Later on Saturday, the mayors of Valparaiso region and Concepcion province also announced states of emergency.

Dozens of protesters torched a building belonging to Chile's oldest newspaper El Mercurio in Valparaiso city on Saturday evening, while elsewhere in the port city a metro station, supermarkets and other stores were burned.

The Santiago Metro, at 140 kilometers, is the largest and most modern in South America and a source of great pride for Chileans.