Brazil awarded Investment Rating BBB

[robh]

Originally Posted by Golfingworld

EU suspends Brazil beef imports

BBC NEWS | World | Americas | EU suspends Brazil beef imports

Brazil, which defaulted on its debt in the 1980s and declared a moratorium on debt payments, is riding a boom in demand for key exports such as beef, iron ore and soy.

There are two sides to every story!

Why fail to mention that the suspension which started in January is not affecting the Brazilian economy at all, and also that Brazil paid back it's IMF loans early?

[robh]

Originally Posted by JMBroad

Sorry if I appear dense, GW but are you implying that the food and hygiene standards of Brazilian beef is the "other side of the story" to the upgrade of Brazil to investment level by three of the leading financial analysts in the world?

Sure there may be a minor impact however considering the upgrade was months after that news article, which is now 6 months old, I'd probably suggest if there is another "side to the story" that it'll be something else.

I think GW was talking out of his "other side" ... again

[RalphJ]

raising interest rates and inflation returning to brazil once again some indexes being the highest in years.


G1 > Economia e Negócios - NOTÍCIAS - Memória inflacionária ainda assusta o Brasil

[Golfingworld]

Originally Posted by JMBroad

Sorry if I appear dense, GW but are you implying that the food and hygiene standards of Brazilian beef is the "other side of the story" to the upgrade of Brazil to investment level by three of the leading financial analysts in the world?

Sure there may be a minor impact however considering the upgrade was months after that news article, which is now 6 months old, I'd probably suggest if there is another "side to the story" that it'll be something else.

No the BBC didn't, you notice that I didn't write the article!

Negative articles are old, positive new!

[robh]

Originally Posted by RalphJ

raising interest rates and inflation returning to brazil once again some indexes being the highest in years.


G1 > Economia e Negócios - NOTÍCIAS - Memória inflacionária ainda assusta o Brasil

That is happening everywhere and is being driven by the high price of oil. It is a pity that Petrobras can't get Brazil's latest oil finds producing sooner, Brazil stands to make a killing when they do start exporting.

[FCZ]

Financial institutions have losses and write-downs of 330 billions dollars due to the sub-prime crisis initiate in the US. That gives a dimension of the storm out there; since them financial institutions had fired dozens of thousands employees to adjust. Factbox below:

FACTBOX-Global write-downs and credit losses | Reuters

And now compare with what is going on with the BRIC, remember, Brazil makes the B:

BRICs helped by Western finance crisis: Goldman | Reuters

This speaks by itself, at least I think.

If you agents in Brazil, have to justify your offerings under these comparatively good situation, I don't know what you will have to do when things gets a little difficult.

[robh]

Originally Posted by FCZ

Financial institutions have losses and write-downs of 330 billions dollars due to the sub-prime crisis initiate in the US. That gives a dimension of the storm out there; since them financial institutions had fired dozens of thousands employees to adjust. Factbox below:

FACTBOX-Global write-downs and credit losses | Reuters

And now compare with what is going on with the BRIC, remember, Brazil makes the B:

BRICs helped by Western finance crisis: Goldman | Reuters

This speaks by itself, at least I think.

If you agents in Brazil, have to justify your offerings under these comparatively good situation, I don't know what you will have to do when things gets a little difficult.

I am not sure which article says that things will be getting difficult for Brazil?

[FCZ]

Originally Posted by robh

I am not sure which article says that things will be getting difficult for Brazil?

None of them. Things are getting better, clearly. Surprise me that you guys have to defend Brazil on these grounds.

The link below is for Goldman Sachs. Click the Jim O'Neill link, it's a short video. He is the guy, the guru for the more exalted ones.

Goldman Sachs | BRICs

[RalphJ]

Originally Posted by robh

That is happening everywhere and is being driven by the high price of oil. It is a pity that Petrobras can't get Brazil's latest oil finds producing sooner, Brazil stands to make a killing when they do start exporting.

They're making a killing now!!! Why export when you can sell to your own countrymen for $7 U.S. per gallon?? What good is it to be "self sufficient" in oil yet sell to your own brethren for double the price than what "other" countries sell for who import 50% !!!!

[RalphJ]

Originally Posted by FCZ

None of them. Things are getting better, clearly. Surprise me that you guys have to defend Brazil on these grounds.

The link below is for Goldman Sachs. Click the Jim O'Neill link, it's a short video. He is the guy, the guru for the more exalted ones.

Goldman Sachs | BRICs

O'Neill, head of global economic research at Goldman, said China, India and Russia were actually growing faster than originally predicted by his research.

"Of the four BRICs, Russia, China and India have all grown on average 2 percent more than we suggested," he said. "It is a hell of a lot so they are now collectively 16 percent of global GDP so it is all happening a lot quicker."

Anyone notice they didn't mention Brazil? The ONLY country of the 4 BRIC's that wasn't mentioned. From 2003 until 2007 the entire globe grew at a medium rate of 4+%.....Brazil didn't even make par. Only Haiti grew at a slower rate during that time period than Brazil in Latin American and Carribean countries.

And now the interest rates are rising once again. Twice in the last 3 months. Now to 12.25% per annum. And the biggest detriment has been inflation, seeing large increases in flour (farina de trigo), rice, beans, and other staples. When a country has 40 million of it's populuation making less than 2 U.S. dollars per day it has a dramatic effect.

Detractors say optimistic predictions about the BRIC economies ignore major hurdles to their development such as future political instability, rampant corruption and decrepit infrastructure.

Economists repeatedly forecast in the 1950s and 1960s that Brazil would become one of the world's top economic powers, only for its once-rapid growth to stall dramatically in the debt crisis of the 1980s and to stagnate throughout the 1990s.

And there it is.....Custo Brasil!