BCA Research continues to recommend shorting the real versus the U.S. dollar, and underweighting Brazilian sovereign credit and equities within EM credit and equity portfolios. The commodity fueled growth bonanza has run its course and living standards are failing to keep up with the government’s rhetoric on Brazil’s growth miracle.

Here are a few of their charts indicating these risks (via Drunkeynesian):

Tagged with:  
Share →

Leave a Reply

Your email address will not be published.

7 + 4 =

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>