Paradoxes and Perspectives

BRAZIL ECONOMICS - Report 31 Mar 2014 by Marcelo Gazzano, Cristina Pinotti and Affonso Pastore
There are two paradoxes in the Brazilian economy’s recent behavior. First, although in recent weeks the perspectives have worsened for inflation, the current account deficit and GDP growth, the Ibovespa and real have both been appreciating (the exchange rate now is below R$2.30/US$). Second, the real had been appreciating even before stock prices started to increase, despite the negative perspectives for the current account deficit. What’s behind these two movements? We initially examine the first paradox. In our Quarterly Outlook published on March 17th, we projected GDP growth of 1.5%; in...

Now read on...

Register to sample a report

Register
Sign-in
Forgot your password?
Copyright 2024 GlobalSource Partners. All rights reserved. This report is prepared for GlobalSource Partners’ clients and may not be redistributed, reproduced, stored in a retrieval system, retransmitted or disclosed, in whole or in part, or in any form or manner, without the express written consent of GlobalSource Partners. This report is distributed simultaneously to our website and other portals used by GlobalSource Partners. The information herein was obtained from various sources and is believed to be reliable but GlobalSource Partners does not warrant its completeness or accuracy. Neither GlobalSource Partners nor any Country Analyst, officer or employee accepts any liability whatsoever for any direct, indirect or consequential damages or losses rising from any use of this report or its contents.