HALISTER1: Brazilian Real’s Expected Drop May Create Buy Opportunity: Mirae

Brazilian Real’s Expected Drop May Create Buy Opportunity: Mirae

(Bloomberg) -- Brazil assets may open lower amid a global rout after surprising Trump win in U.S. elections, creating a buy opportunity for investors, Olavo Souza, FI trader at Mirae Asset Wealth Management, says in a phone interview.
  • Trump’s first speech after election was “pleasant, conciliatory”; should he keeps this tone, the “end of the world” scenario for markets will not prevail
    • “The markets now depend on Trump’s discourse,” Souza says
    • If he resumes the campaign tone markets may worsen
    • Volatility to remain high until the new government plans are clear
  • BRL to drop at the open; in the coming days, USD may reach ~3.35/BRL, the area of the September high
    • Reaction to Trump may overshadow local news, such as Petrobras cutting fuel prices, which could also affect shares and DI rates
Alert: HALISTER1
Source: BFW (Bloomberg First Word)

Tickers
PETR4 BZ (Petroleo Brasileiro SA)

People
Olavo Souza (Mirae Asset Securities Brazil Exchange Broker Securities Ltd)

To de-activate this alert, click here

UUID: 7947283