Comments on: Brazil’s Rousseff was asking for real’s selloff Mon, 26 Sep 2016 03:26:00 +0000 hourly 1 By: Globleizer Wed, 28 Sep 2011 15:53:38 +0000 Putting the onus on Dilma only detracts from more credible opinion voiced here. The economic team Dilma affectionately calls “os tres porcinos” (the three little pigs)coordinate policy and Mr Cox and his sources in Sampa financial circles probably know who they are.

Taking pressure off the real was an issue two years ago as much as it is today and has as much to do with the machinations of free marketeers, the carry trade and other speculators in New York, London and Hong Kong as it does with Brasilia providing a pathway to the middle class for millions on the bubble.

Corruption is in the eye of the beholder and a convenient ruse for what Cox posits regarding insiders. Leading Brazilian and Mexican names lost around $10 billion in the latest Wall Street slide, and they hardly lack inside information anywhere. Moreover, US dollars and yuan held by China finding their way into the real zone because Beijing is Brazil’s top trade partner suggest that part of the real’s movement represents a de-facto devaluation of that paper money too.

Brazil’s real adventure is that it has sided with China and France calling for a new reserve currency unit, in spite of the current global malaise. Perhaps this is why the Brazil bashing and Dilma bashing here.

By: johnhhaskell Mon, 26 Sep 2011 08:58:55 +0000 a BRL selloff is exactly what the doctor ordered. Mindless adherence to inflation targeting is what got the Eurozone where it is today. Thank God someone is willing to question this insane orthodoxy.