You are using an out of date browser. It may not display this or other websites correctly.
You should upgrade or use an alternative browser.
You should upgrade or use an alternative browser.
Here is why the worldâs smart money is being invested in Brazil.
- Thread starter SouthAmerica
- Start date
An "interesting" set of responses so far. It seems the majority of people focus on the problems of Brazil, ignoring progress being made... all the more opportunity for those with vision.
Quote from BlackPanther:
An "interesting" set of responses so far. It seems the majority of people focus on the problems of Brazil, ignoring progress being made... all the more opportunity for those with vision.
Going long brazil right now for the first time probably means you need to have your vision checked. I know a good optometrist...
After it blows up and after about 3-4 years, yes I agree.
Prefer India, personally.
Today news,
Growth rate, less than 5% until year 2010.
External investment in infraestructure falling down.
Very high relation debt/PBI
Serious energy problems
Source: Today Jornal do Commercio
Wise money to Brazil?????? Unbelievable!!!!!
I agree, India by far better, unless a superb well educated population.
Growth rate, less than 5% until year 2010.
External investment in infraestructure falling down.
Very high relation debt/PBI
Serious energy problems
Source: Today Jornal do Commercio
Wise money to Brazil?????? Unbelievable!!!!!
I agree, India by far better, unless a superb well educated population.
.
nazzdack: Isn't the BOVESPA merely moving in lock-step with the DOW JONES? The Dow Jones is holding the leash and the Bovespa is at the end of it?
************
September 8, 2006
SouthAmerica: Reply nazzdack
The Brazilian stock market index did a little better than the Dow Jones Industrial since December 31, 2001. By the way, in the last 4 years the Brazilian currency also did a little better than the US dollar.
The Brazilian Stock Index tripled in value since December 31, 2001.
In the last 4 years the Brazilian currency also had a fantastic improvement against the declining US dollar.
I let you do the math, but if you had a stock in local currency that tripled in value and at the same time you doubled your money on the currency conversion = not a bad performance.
****
DOW JONES INDUSTRIAL AVERAGE
Dateâ¦â¦â¦â¦â¦......Close
Dec 31, 2001â¦.10,259.74
Sep 8, 2006â¦â¦11,392.11
**********
Stock Market Index
IBOVESPA SAO PAULO
In Local Currency
Dateâ¦â¦â¦â¦.....â¦..Close
Dec 31, 2001â¦..13,578.00
Sep 8, 2006â¦..â¦36,558.48
*******
U.S. Dollar X Brazilian Real
31-Dec-02........U.S. Dollar 1 = Brazilian Real 3.86
8-Sep-06..........U.S. Dollar 1 = Brazilian Real 2.1585
**************
Remarg: Smart money to Brazil!!!!!! Crazy guy... one thing for sure, Rio de Janeiro is the most insecure and dirty city in the world.
drsteph: Going long brazil right now for the first time probably means you need to have your vision checked. I know a good optometrist...
*****************
SouthAmerica: Reply to Remarg and drsteph
I hope both of you sold short four years ago not only the Brazilian stocks but also the Brazilian currency the Real.
.
nazzdack: Isn't the BOVESPA merely moving in lock-step with the DOW JONES? The Dow Jones is holding the leash and the Bovespa is at the end of it?
************
September 8, 2006
SouthAmerica: Reply nazzdack
The Brazilian stock market index did a little better than the Dow Jones Industrial since December 31, 2001. By the way, in the last 4 years the Brazilian currency also did a little better than the US dollar.
The Brazilian Stock Index tripled in value since December 31, 2001.
In the last 4 years the Brazilian currency also had a fantastic improvement against the declining US dollar.
I let you do the math, but if you had a stock in local currency that tripled in value and at the same time you doubled your money on the currency conversion = not a bad performance.
****
DOW JONES INDUSTRIAL AVERAGE
Dateâ¦â¦â¦â¦â¦......Close
Dec 31, 2001â¦.10,259.74
Sep 8, 2006â¦â¦11,392.11
**********
Stock Market Index
IBOVESPA SAO PAULO
In Local Currency
Dateâ¦â¦â¦â¦.....â¦..Close
Dec 31, 2001â¦..13,578.00
Sep 8, 2006â¦..â¦36,558.48
*******
U.S. Dollar X Brazilian Real
31-Dec-02........U.S. Dollar 1 = Brazilian Real 3.86
8-Sep-06..........U.S. Dollar 1 = Brazilian Real 2.1585
**************
Remarg: Smart money to Brazil!!!!!! Crazy guy... one thing for sure, Rio de Janeiro is the most insecure and dirty city in the world.
drsteph: Going long brazil right now for the first time probably means you need to have your vision checked. I know a good optometrist...
*****************
SouthAmerica: Reply to Remarg and drsteph
I hope both of you sold short four years ago not only the Brazilian stocks but also the Brazilian currency the Real.
.
Quote from southamerica:
.
Remarg: Smart money to Brazil!!!!!! Crazy guy... one thing for sure, Rio de Janeiro is the most insecure and dirty city in the world.
drsteph: Going long brazil right now for the first time probably means you need to have your vision checked. I know a good optometrist...
*****************
SouthAmerica: Reply to Remarg and drsteph
I hope both of you sold short four years ago not only the Brazilian stocks but also the Brazilian currency the Real.
.
Twisted reply -- they both were speaking of Brazil TODAY, not four years ago.
We know, we know...... EWZ has made a big move the last four years.
I have several houses in several latin countries....and am certainly familiar with the US....and have traveled in Europe...
One of the main obstacles for the developing countries would be the high interest rates....
There are many reasons for this...but one of the more prominent reasons is risk reward inherent in banking to the general public...
If banking is to be extended throughout a developing population that is moving from the third world...then income risk and legal property risk could be viewed as being much riskier than more developed countries whose educational standards and legal property standards are more developed...
Higher inherent risks imply higher rates in a less developed country...The higher rates in turn are an impediment to faster growth to some degree....
If Brazil interest rates were equated to that of the more developed countries ie the US or Europe...the economy would be moving up the ladder much faster...
Just think of what the US would be like if its interest rates were consistently above 15%....
The fact that countries can move ahead along with their high interest rates is very telling....
One of the main obstacles for the developing countries would be the high interest rates....
There are many reasons for this...but one of the more prominent reasons is risk reward inherent in banking to the general public...
If banking is to be extended throughout a developing population that is moving from the third world...then income risk and legal property risk could be viewed as being much riskier than more developed countries whose educational standards and legal property standards are more developed...
Higher inherent risks imply higher rates in a less developed country...The higher rates in turn are an impediment to faster growth to some degree....
If Brazil interest rates were equated to that of the more developed countries ie the US or Europe...the economy would be moving up the ladder much faster...
Just think of what the US would be like if its interest rates were consistently above 15%....
The fact that countries can move ahead along with their high interest rates is very telling....
.
Libertad: One of the main obstacles for the developing countries would be the high interest rates....
â¦If Brazil interest rates were equated to that of the more developed countries ie the US or Europe...the economy would be moving up the ladder much faster...
Just think of what the US would be like if its interest rates were consistently above 15%....
The fact that countries can move ahead along with their high interest rates is very telling....
**************
September 10, 2006
SouthAmerica: For the last 6 years I had been advocating that Brazil adopt the Euro as its new currency.
One of the major benefits is that the European financial markets would be wide open for Brazil, and interest rates would have been in line with interest rates inside the European Union.
But because of what has transpired in the last 3 to 4 years, today I think that Brazil should wait a little longer and become a founding member of the âNew Asian currencyâ - and Brazil should integrate its economy with that Asian group.
The link of the Brazilian economy to Asia, including China and India is were the future lies, and the growth prospects for the Brazilian economy will be connected to the economic development of China and that area of the world.
But if Brazil can be competitive, and still grow under such usurious interest rates that we have today â can imagine what the Brazilians can do under a more reasonable level of interest rates?
I am aware that Brazil is not a perfect place and does not have a perfect set of laws (Wherever that means), but Brazil is in the right track and Brazil is becoming agile to be able to survive in the constant changing world and globalization. It is just a matter of time for Brazil to refine its tax system, and its legal system to conform with the new international standards.
.
Libertad: One of the main obstacles for the developing countries would be the high interest rates....
â¦If Brazil interest rates were equated to that of the more developed countries ie the US or Europe...the economy would be moving up the ladder much faster...
Just think of what the US would be like if its interest rates were consistently above 15%....
The fact that countries can move ahead along with their high interest rates is very telling....
**************
September 10, 2006
SouthAmerica: For the last 6 years I had been advocating that Brazil adopt the Euro as its new currency.
One of the major benefits is that the European financial markets would be wide open for Brazil, and interest rates would have been in line with interest rates inside the European Union.
But because of what has transpired in the last 3 to 4 years, today I think that Brazil should wait a little longer and become a founding member of the âNew Asian currencyâ - and Brazil should integrate its economy with that Asian group.
The link of the Brazilian economy to Asia, including China and India is were the future lies, and the growth prospects for the Brazilian economy will be connected to the economic development of China and that area of the world.
But if Brazil can be competitive, and still grow under such usurious interest rates that we have today â can imagine what the Brazilians can do under a more reasonable level of interest rates?
I am aware that Brazil is not a perfect place and does not have a perfect set of laws (Wherever that means), but Brazil is in the right track and Brazil is becoming agile to be able to survive in the constant changing world and globalization. It is just a matter of time for Brazil to refine its tax system, and its legal system to conform with the new international standards.
.
A few remarks:
-China and India are competitors, in anyway partners. Could be a disaster for Brazil economy to partner with these countries, no way can compite.
-Asian culture is far away from Brazil way of life.
-China/India education overrides in quality and number the very well known undereducated Brazil.
-China/India labor force is very well underpaid compared to Brazil labor force.
Fix these subjects and work hard in your region. Only development in Latinamerican could bring some relief to Brazil.
By the way, you were talking about Brazil growing with high interest rates, so far I remember in the year 2005 Brazil only grown more than Haiti, it´s true folk???
Do you know that Brazil will need 70 years of growing rate at about 10% per year in order to get USA living standards? And 50 years to even get our technological and scientific level!!!
-China and India are competitors, in anyway partners. Could be a disaster for Brazil economy to partner with these countries, no way can compite.
-Asian culture is far away from Brazil way of life.
-China/India education overrides in quality and number the very well known undereducated Brazil.
-China/India labor force is very well underpaid compared to Brazil labor force.
Fix these subjects and work hard in your region. Only development in Latinamerican could bring some relief to Brazil.
By the way, you were talking about Brazil growing with high interest rates, so far I remember in the year 2005 Brazil only grown more than Haiti, it´s true folk???
Do you know that Brazil will need 70 years of growing rate at about 10% per year in order to get USA living standards? And 50 years to even get our technological and scientific level!!!