Brazilian Bloodbath: Currency Halted, Futures Crash, Bonds Tumble MOST ON RECORD!
A few days ago, the Brazilian markets were rattled! Only a year ago, their previous president, Dilma Rouseff was impeached, causing massive instability.
Today, the new president, Michel Temer, was caught being involved in a scandal. This has sent a shockwave through the Brazilian markets as you can see in the charts below.
An opportunity may present itself with the Brazilian ETF. Previously that would have been a great return and could be the same again.
Check out this short article:
Brazil has plunged back into yet another political crisis less than a year after the impeachment of Dilma Rouseff, when a report in Brazil's O Globo newspaper revealed that President Michel Temer was involved in an "hush money" cover-up scheme involving the jailed former speaker of the lower house of Congress, Eduardo Cunha, who was the mastermind behind the impeachment of Rouseff.
And while most Brazilian asset markets were closed at the time, a Brazilian stock ETF trading in Japan, gave an indication of what to expect: a drop of about -8%.
In retrospect it may have been optimistic, as moments ago the Brazilian real was halted for trading after crashing 6%...
... Bovespa futures plunged 10%...
... and Brazil's Eurobonds due 2021 tumbled the most on record.
... and Brazil's ETF (EWZ) has collapse.
The collapse promptly dragged the Brazilian Central Bank which tried to assure markets, stating it was "monitoring the impact of recent information published by the press and will act to maintain full functionality of markets" adding that "this monitoring and action are focused on the good functionality of markets."
So far it is failing.
Wonderful post about my country. This country is a mess right now because the new presidente is also a big corrupt.
Thank you. Hopefully order will be restored
canada could be next! corrupt politishitans and socialism... what could go wrong? best wishes in theses hard times for you and your people. We got to take the power back!
Agreed!
meep
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