BofA still optimistic about Brazil; recommends stocks linked to economic reopening

Amid all the political and economic uncertainties, and facing an uncertain international scenario, some still have a positive outlook for equities in Brazil.

RIO DE JANEIRO, BRAZIL - Bank of America (BofA) strategists David Beker, Paula Andrea Soto and Carlos Peyrelongue wrote in a report that they are still optimistic about Brazil and Mexico, recommending the markets of both countries as overweight (recommended positioning above the market average) within the Latin America portfolio.

In Brazil, the American bank team sees opportunities in bank stocks, companies exposed to the economic reopening, inflation players and some internationally positioned names, such as Petrobras (PETR3; PETR4), JBS (JBSS3) and WEG (WEGE3).

"In Brazil, credit expansion is at a good pace, while asset quality and spreads are stable, and . . .

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