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Brasil

PBR is correlated to oil prices, but that's not all...PBR is correlated to oil prices, but that's not all. Out of a selection of other oil majors, PBR underperforms significantly when the starting month of August 2011 is chosen, a date I arbitrarily chose due to launch of a new industrial policy in Brasil (a proxy of changing economic policy). Note, however, work done by my friend, Raphael Geraldelli (related ideas), showing a much closer correlation of PBR to oil prices in a more recent period (). The takeaway here is that although PBR is correlated to oil prices, internal company issues and Brazilian political economy played an important historical role in the stock's price and I believe it will continue to do so moving foreword.
NYSE:PBR
by BrunoBoni
BVSP all the way downTogether with my last chart about the BVSP, this is more of a Swing-Trade leveraged position against this active (BOV11 in IBovespa and BVSP in NYSE), considering the following fundamental key points: * The main stocks are being hammered, some of them: Petrobras, Vale, Sabesp. * Brasil fiscal efforts to keep a good spending balance showed some ugly side effects on the economy. * The Brasil's economy plans to grow by 0.3% this year, which basically means a recession. Basically, in the near term there's no way you can be bullish in this scenario until all the changes on the fiscal politics stabilize the economy and produce long-term growth. It may not even begin this year.
INDEX:IBOV
by Ice_