Foreign Investors Flee Brazil’s Stock Market

São Paulo, Brazil, stock market, the Bovespa Brazil's stocks partly recovered (0.16%) on Friday, July 4, after their worst week in nearly a year with the São Paulo Bovespa index, the Ibovespa, falling 7.7% – below the 60.000 benchmark – in line with global markets and concerns about oil prices and rising inflation.

Bovespa officials also revealed on Friday that the São Paulo stock exchange closed June with a deficit equivalent to US$ 4.06 billion, which means that contrary to what happened in April when there was virtually a flood of foreign capital, the inflow this last month was negative.

In April, the Bovespa operations had a surplus of US$ 3.7 billion but beginning in May foreign capital began leaving and closed the month with a mere US$ 300 million plus.

In June, the São Paulo stock exchange lost 10.43%, with foreign purchase of Brazilian stocks totaling US$ 28.3 billion, but sales jumped to US$ 32.95 billion and the resulting loss of money volume.

However in spite of a very adverse June, the Bovespa managed to close the first semester with a surplus of foreign investment of US$ 3.3 billion, mostly because of the several public offerings with foreigners wanting to change currency into stock assets.

Mercopress

Tags:

You May Also Like

Under the Gun in Rio

In Rio, anyone can ask around and find a cheap pistol and a handful ...

The Drunk Who Cracked the Fortress of Brazil’s Dictatorship

I discovered the political relevance of popular music many years ago, listening to Arlo ...

Brazil Triples Payment for Itaipu’s Energy. Some Think It’s Too Little

On an amicable solution to a decade long dispute over a hydro-electric dam on ...

US$ 32 Billion Surplus Makes Brazil Comfortable

The export growth has made Brazil stronger with regard to foreign crises. The US$ ...

Drought in the South of Brazil Leaves 52 Cities Without Water

So far, 397 municipalities in the state of Rio Grande do Sul, in southern ...

Something Wrong with Brazil’s Interest Rates

Interest rates are currently on the rise in Brazil. Earlier this week the Central ...

Economist Accuses Brazil and UN of Shameful Service for the US in Haiti

The opening ceremony of the 6th World Social Forum in Caracas, Venezuela, Tuesday, January ...

Death of a Tragic Jumper

"What saddens me most is the way we forgot João and so many other ...

Brazil Puts Its Goods on Show to Arabs

The economic potential of Brazil will be shown by different ministries and government institutions ...

Once Again Brazilian Justice Orders Halt to Amazon’s Belo Monte Dam

A Brazilian judge has ordered a halt to construction of a multi-billion-dollar dam project ...