The Brazilian economy and equity markets have been on a downward trend for the past few years. The benchmark Bovepa index is down 9.5% year-to-date. Ever since the Global Financial Crisis of 2008-09 Brazilian stocks continue to be poor performers. This is in sharp contrast to views held until a few years ago when the …
Continue reading ‘One Structural Flaw in the Brazilian Growth Story’ »
The economy of Brazil has suffered sharply in the past few years due to the decline in the commodity markets and the slowdown in China. The Brazilian economy retracted this year and is predicted to have negative GDP growth in 2016 also. From a news article published back in October: SÃO PAULO, BRAZIL – The federal government …
The Brazilian equity market entered the bear market territory recently. The IBovespa is down by 2.65% year-to-date. Banks have held up well compared to other Brazilian stocks listed on the US exchanges as shown in the table below. Source: BNY Mellon Brazilian bank stocks may be attractive now for investors looking to gain exposure to …
Continue reading ‘Brazilian Bank Stocks: Are They A Good Buy Now?’ »
The Brazil presidential election run-off is on Oct 26th (Sunday).The current President Dilma Rousseff is challenged by Aécio Neves. Investors are eagerly waiting for the outcome of this election as there will be major policy changes that impact the investment climate in the country.They are betting for a Aécio Neves win as Dilma has been a disaster during her tenure from …
Continue reading ‘On the Performance of Brazilian Utility Stocks’ »