The freefalling Brazilian real is unintentionally creating a boon for soccer fans seeking tickets to next year’s World Cup, with the currency’s tumble opening up a 20 percent difference between local and overseas prices.
Brazil is the only so-called BRIC emerging economy where companies not owned by the government, such as Credit Suisse Group AG and Grupo BTG Pactual, still earn the most investment-banking fees. That may soon end.
Brazilian central bank board member Carlos Hamilton so disagreed with a surprise interest-rate cut in August that he slammed phones and stomped through hallways, according to three bank officials familiar with his reaction.
Brazil’s central bank raised the benchmark interest rate a third consecutive time and said it was giving continuity to the world’s biggest tightening cycle, signaling increases may be extended through year-end as policy makers battle inflation.
Credit Suisse Group AG and JPMorgan Chase & Co. are selling to investors through pass-through notes a $1.27 billion loan made to the Brazilian state of Minas Gerais, according to people familiar with the matter.
Brazilian government bonds are suffering the biggest quarterly losses since the run-up to former President Luiz Inacio Lula da Silva’s election in 2002 led to speculation that the nation would default.
Protesters who forced authorities to cut bus fares last month in Brazil’s largest demonstrations in two decades are helping inflation ease to the slowest in almost three years, providing an unintended boon to the nation’s bondholders.