Brazil: Real economy takes a hit

Brazilian corporates are starting to feel the crunch, with some particularly exposed by their use of derivatives to hedge the value of the real and earnings under pressure for commodity producers as demand falls. But Brazil’s broad industrial base and generally responsive government policies should stand it in good stead.

Policies in place to weather the storms

Brazil to gain a new global profile?

Banks trade on their strengths

Profitability holds up – so far
Consolidation to accelerate?

Real economy takes a hit

Petrobras: hope amid the storm

While much of the focus of recent months has been on the effect of the financial and economic crisis on the banking sector, in Brazil its effect on the corporate sector is of at least equal immediate importance. Certainly, the financial environment is likely to have more significant short-term repercussions for Brazilian corporates than for those in a number of other countries.

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