from MacroScope:

When interest rates rise, credit growth should… accelerate?

October 29, 2012

Latin America has defied one of the most elementary rules of macroeconomics in the past decade, Citigroup economists Joaquin Cottani and Camilo Gonzalez found in a report.

from MacroScope:

Latin America: the risks of being too attractive

October 25, 2012

Ironically, an increase of capital inflows to Latin America in the last few years due to unappealing ultralow yields in industrialized countries and the region's relative economic success is posing a threat for development, according to a recent paper that provides wider background to BRIC criticism of the latest U.S. Federal Reserve´s quantitative easing.

from Global Investing:

Record year for emerging corporate bonds

October 17, 2012

The past 24 hours have brought news of more fund launches targeting emerging corporate debt;  Barings and HSBC have started a fund each while ING Investment Management said its fund launched late last year had crossed $100 million.  We have written about the seemingly insatiable demand  for corporate emerging bonds in recent months,  with the asset class last month surpassing the $1 trillion mark.  Data from Thomson Reuters shows today that a record $263 billion worth of EM corporate debt has already been underwritten this year by banks, more than a fifth higher than was issued in the same 2011 period (see graphic):

from Photographers' Blog:

Brazil’s homegrown Gaudi

October 11, 2012

By Paulo Whitaker

The last time I took pictures in one of Brazil’s favelas my luck was very different. That was in Rio de Janeiro in 2010, when I was covering a police invasion of the Alemão slum. A bullet perforated the windshield and hit me in the shoulder as I sat transmitting pictures in the backseat of a taxi. Fortunately, I recovered quickly.

from Global Investing:

Emerging Policy: Rate cuts proliferate

October 11, 2012

Emerging market central banks have clearly taken to heart the recent IMF warning that there is "an alarmingly high risk"  of a deeper global growth slump.

from David Rohde:

How a place like Brazil can be a job creator for the U.S.

By David Rohde
October 3, 2012

VITORIA DE SANTO ANTAO, Brazil – Last year, Kraft built a gleaming new factory on the outskirts of this town in northeastern Brazil. When I visited it last month, my heart sank.

from David Rohde:

The BRIC laggard

By David Rohde
September 28, 2012

SAO PAULO – For decades, Denis Dias’s parents could never break into Brazil’s middle class. They started a bakery and a pizzeria in the 1970s and 1980s, but the country’s economic instability and hyper-inflation consumed their businesses and their hopes. His father ended up owning a newsstand. His mother worked as a maid. And Denis attended dilapidated state-run schools.

from Global Investing:

This week in EM, expect more doves

September 24, 2012

With the U.S. Fed having cranked up its printing presses, there seems little to stop emerging central banks from extending their own rate cut campaigns this week.

from Photographers' Blog:

The king of the Amazon

September 21, 2012

By Bruno Kelly

It was a dream come true for me to accompany the men who fish the pirarucu, South America’s largest freshwater fish. It was even more so to do it in the region of the Juruá River, one of the most inhospitable, winding and virgin rivers in the Amazon Basin.

from Global Investing:

Fed re-ignites currency war (or currency skirmish)

September 19, 2012

The currency war is back.

Since last week when the Fed started its third round of money-printing (QE3), policymakers in emerging markets have been busily talking down their own currencies or acting to curb their rise. These efforts may gather pace now that Japan has also increased its asset-buying programme, with expectations that the extra liquidity unleashed by developed central banks will eventually find its way into the developing world.