Walter's Feed
Apr 22, 2014

Wall Street bets on change in Brazil, but the gradual kind

RIO DE JANEIRO, April 22 (Reuters) – Brazil’s financial
markets have soared over the past month on hopes that the
government may run smaller deficits, stop interfering as much in
the private sector and perhaps even undertake long-needed
reforms to revive the economy.

But some of the most experienced Brazil-watchers on Wall
Street are saying: Not so fast, guys.

Apr 10, 2014

Fitch wants Brazil’s next government to adjust policies

RIO DE JANEIRO, April 10 (Reuters) – Fitch Ratings on
Thursday said it expects Brazil’s next government to support the
country’s credit rating by making policy adjustments to improve
its fiscal performance and boost investor confidence.

In a conference call with investors, Fitch analyst Shelly
Shetty said low growth rates and a deterioration in fiscal
accounts are the firm’s main concern about Brazil, which remains
rated at BBB with a stable outlook.

Mar 31, 2014

Russia’s troubles could spur dollar inflows to Latin America

COSTA DO SAUIPE, Brazil, March 31 (Reuters) – Leading Latin
American economies such as Mexico and Brazil are poised to
receive short-term capital flows from investors fleeing Russia
due to fear of geopolitical instability and an economic
recession there, analysts said.

Such inflows are not expected to be strong enough to have a
lasting impact on the countries’ exchange rates but have already
caused market buzz and became a topic of discussion during this
weekend’s annual meeting of the Inter-American Development Bank
in a resort near the Brazilian city of Salvador.

Mar 30, 2014

Fitch to conclude review of Brazil’s rating by July

COSTA DO SAUIPE, Brazil, March 30 (Reuters) – Fitch Ratings
will conclude its annual review of Brazil’s credit rating by
July, when it will decide whether to revise the country’s rating
outlook to negative, which would be the first step toward a
possible downgrade.

The review is part of a regular process that Fitch is
required by law to complete every year, company analyst Shelly
Shetty said. She stressed that there are no preconceived ideas
about what the decision is going to be but acknowledged that
Brazil is not on a positive path.

Mar 30, 2014

Uruguay, Peru first in line for possible upgrades in Latam -Moody’s

COSTA DO SAUIPE, Brazil, March 30 (Reuters) – Uruguay and
Peru are the first Latin American countries in line for a
possible credit rating hike by Moody’s Investors Service, at a
moment when sovereign upgrades are expected to become more
scarce in the region, a senior analyst with the ratings firm
said.

Moody’s currently has positive credit outlooks for four
Latin American countries: Uruguay, Peru, Colombia and Jamaica.
After assigning a positive or a negative outlook on a rating,
the firm aims to make a decision on whether to adjust it within
18 months.

Mar 28, 2014

Brazil eyes euro, yen markets to finance domestic companies

COSTA DO SAUIPE, Brazil, March 28 (Reuters) – Brazil is
looking at the euro zone and Japan to open new financing options
for companies that are expected to invest in the country’s
infrastructure sector, Treasury undersecretary Paulo Valle said
on Friday.

After returning to the euro capital market this week
following a six-year hiatus, the Treasury may sell
yen-denominated bonds in the next few months to start building a
yield curve there, he said.

Mar 14, 2014

Latin American stocks drop before Crimea referendum

RIO DE JANEIRO (Reuters) – Latin American stocks dropped on Friday before a weekend referendum in Ukraine’s Crimea, with investors fearing increased tensions between the West and Russia that could result in economic sanctions against Moscow and possibly a war in the region.

The heightened geopolitical frictions have hit financial markets across the globe, sending MSCI’s benchmark stock index for emerging markets 0.6 percent lower. Russian stock indexes on Friday fell to their lowest levels since 2009 before clawing back some ground.

Mar 7, 2014

Latam markets trim losses on strong U.S. jobs data

RIO DE JANEIRO (Reuters) – Latin American stocks and currencies trimmed losses on Friday, with the Mexican peso swinging into positive territory, after data showed the United States created more jobs in February than forecast, easing fears of a slowdown in the world’s largest economy.

Benchmark stock indexes for the region, including Brazil’s Bovespa index and Chile’s IPSA, erased all of their losses and traded slightly higher after the U.S. Labor Department said employers added 175,000 jobs to their payrolls last month.

Feb 28, 2014

Hryvnia gains on IMF hope; Brazil’s real dips

RIO DE JANEIRO/LONDON, Feb 28 (Reuters) – Ukraine’s hryvnia
jumped as much as 10 percent on Friday on hopes of a loan from
the International Monetary Fund, while the Brazilian real slid
0.5 percent after the latest budget data poured cold water on
hopes that the country would halt a deterioration in its fiscal
performance.

Russia’s rouble gained slightly but stayed near five-year
lows to the dollar on Friday, pressured by fears about
instability in neighboring Crimea.

Feb 27, 2014

Russia, neighbors spooked by geopolitics; Brazil supported by GDP

RIO DE JANEIRO/LONDON, Feb 27 (Reuters) – Geopolitical
tensions drove Russia’s rouble to five-year lows against the
dollar while pushing Ukraine’s hryvnia 9 percent lower, but
Brazilian markets were supported by data showing the economy
grew far more than expected at the end of 2013.

Russia’s defiant response to the political turmoil in
neighboring Ukraine spooked investors in Europe and Asia, with
Moscow quoted as saying fighter jets along Russia’s western
borders had been put on combat alert.