Tag Archives: Selic

Has Brazil’s equity rally run out of steam?

Is it time to sell Brazil? Yes, according to the Swiss bank that accurately called the strong rally in equity and FX during the past 12 months. Credit Suisse and its Swiss competitor UBS have been eyeing the strong equity … Continue reading

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Goldfajn plots a happy ending for Brazil interest rates

The new president of Brazil’s central bank has identified the large interest rate spread applied by banks on top of the base rate as an obstacle to economic growth. His plan to increase competition and reduce this ‘spread bancario’ is … Continue reading

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Latin America: Brazil’s central bank attacks ‘spread bancario’

Ilan Goldfajn, president of Brazil’s central bank, is seeking to lower the very high credit spreads charged by the country’s banks to its clients in the ‘free market’ credit segments. Goldfajn tells Euromoney, in a wide-ranging interview that will be … Continue reading

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The sucking sound of Brazilian interest rates

Brazil’s economy leads the world in high interest rates. It is a blessing for banks but a burden on the economy – draining resources away from both new investment and consumption. Will new credit platforms finally jolt the established banks … Continue reading

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Brazilian brokers wave the offside flag

“The Bovespa is like the CBF [Brazilian Football Confederation] and the brokers are like the clubs: the former is very rich and very powerful, while the latter do all the work and are going broke.” Ricardo Lacerda, founder and CEO … Continue reading

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Why a failure to raise Selic would be terrible news for Brazil.

  There are two reasons why the Brazilian Central Bank might surprise the market on Wednesday and hold Selic steady at 14.25% – but a failure to raise interest rates would spell very bad news for the economy. On Wednesday … Continue reading

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Brazil: “the worst is behind us”

In an interview with Euromoney this month Gerrardo Rodriguez, former undersecretary of finance and public credit for the Republic of Mexico, says the markets will force policy change in countries like Brazil. For Rodriguez, now senior investment strategist of BlackRock’s … Continue reading

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