Brazilian stocks fell sharply on Friday as the arrest of the country’s former president, Michel Temer, sparked worries that government debate over key fiscal reforms may be delayed.1 comment
Brazil's newly-elected populist President Jair Bolsonaro addressed the world's business elite in Davos on Tuesday, vowing to transform Latin America's largest economy into a more investment-friendly country. On his first international trip since becoming president, Bolsonaro delivered the keynote speech at the World Economic Forum.
Latin American stocks in the region's main markets closed on Tuesday at new highs on the positive outlook for the ongoing US/China trade talks in Beijing. Brazil's Bovespa index ended trading above 92,000 points for the first time ever after hitting several record highs last week.
Latin American currencies failed to gain against a weak dollar on Tuesday, as cautious investors pared exposure ahead of the end of the U.S. Federal Reserve's two-day meeting on Wednesday, while Latin American stocks ticked up in line with their U.S. peers.
Brazilian stocks index, Bovespa, rose nearly 2% on Friday ahead of this weekend's presidential election, whole Brazil's Real further consolidated. The MSCI's index of emerging market stocks in the region gained 1.24%. Although, the region's markets fared better than emerging markets elsewhere, they were on track to end a five-week winning streak.
Brazilian markets soared for a second day on Wednesday on an opinion poll confirming right-wing presidential candidate Jair Bolsonaro was gaining steam ahead of Sunday’s vote and was on track to beat his likely leftist rival in a second-round runoff.
Brazilian markets surged on Tuesday as stronger polling for far-right presidential candidate Jair Bolsonaro and a Congressional farm caucus endorsement boosted expectations that he may block the leftist Workers Party from returning to power.
Brazil stocks were lower after the close on Thursday, as losses in the real estate, industrial and financial sectors sectors led shares lower. At the close in Sao Paulo, the Bovespa index lost 0.01%.
The Brazilian central bank on Wednesday held interest rates at an all-time low despite a currency selloff, as widely anticipated, but said it could “gradually” raise them in the future if inflation expectations spike.
Brazil's economy grew 0.57% in July from June, Brazil's Central Bank said citing the Economic Activity Index (IBC-Br). The data shows a second consecutive month of GDP growth in South America's largest economy.