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Latin America: investors are alarmed because the inflow of investment from China could be reduced

Jul 30th, 2009 | By admin | Category: Reviews and ideas

 

On Wednesday, July 29, the stock markets of Latin America, completed the day in negative territory. Shares of Brazilian companies cheaper to a maximum of three weeks, the amount of the reduction value of commodities, as well as fears that the influx of investment by China's chief trading partner of Brazil, will decrease.

A key index of Brazil Bovespa dropped to 0.1% to 53,734.53 points. Argentina's IGBC fell by 0.57%, and Chilean Ipsa closed in the red at 0.13%. Positive dynamics was observed only in Peru, where IGBVL index rose 0,56%.

Papers Vale, supplying more than 60% of crude iron ore in China, cheaper at 1.7%. The reason was a drop in shares of Chinese companies, since the emergence of information that lenders, at the request of the Government to increase reserves under sunk debts. In addition, pressure on the Chinese paper companies had the intention of the regulatory bodies to increase the tax on trading in securities.

Quotations

Brazilian state oil company Petroleo Brasileiro, known as Petrobras, reached a minimum of two weeks, falling to 2.7%, due to the fact that crude oil prices fell more than 6%.

 
Shares

Tam finished the day in the red at 4.9% after Citigroup analysts lowered recommendations for airlines securities to hold. In addition, the forecast price of American depository receipts has been reduced from $ 27 to $ 16.

Paper is the second largest in the Brazilian airline Gol Linhas Aereas Inteligentes went in at minus 2.3% after analysts Trent left recommendations for securities companies at the same level of sell.

Quotations

construction company Gafisa decreased by 2.7%. This year, the Brazilian securities companies soared by 118%, while the Bovespa index rose 42% against the backdrop of expectations that the government plan to stimulate the economy the volume of 34 billion reais will lead to an increase in demand.

Mexico outsider trades became the third largest cement producer in the world, Cemex, its shares cheaper at 7.1%. It is a strong downward trend was caused by 58% by the fall in profit for the second quarter.

Bolsa index fell for a record three weeks in size and reached a value of 26,516.5 points.

Papers conglomerate Alfa, producing chemicals, sausage and auto parts, retreated to 4.37%, after analysts lowered Santanderrecommendation on shares of the company to hold.

Index Country Closing Change (items) Change (%) Change from the beginning of the year
MerVal Argentina 1655.68 -9.53 -0.57% 53.35 %
Bovespa Brazil 53734.53 -737.01 -1.35% 43.10%
IBC Venezuela 46211.26 -188.45 -0.41% 32.31%
IGBC Colombia 10044.42 -19.26 -0.19% 32.85%
Bolsa Mexico 26516.5 -334.25 -1.24% 18.48%
IGBVL Peru 13839.34 77.72 0.56% 96.34%
IGPA Chile 15301.48 -13.8 -0.09% 35.12%
IPSA Chile 3229.3 -4.32 -0.13% 35.89%


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