RIO DE JANEIRO, BRAZIL - A strong deterioration in the Brazilian economy's fundamentals is paving the way for the Brazilian stock market to close the year at the bottom of the list of the world's main indexes.
With the rise in interest rates in the domestic market, a direct effect of soaring inflation, investors who throughout last year increased their stake in variable income, in search of a higher yield, changed direction and reverted to the well-known (and safer) fixed-income investments.
In addition, this scenario is likely to be compounded by the upcoming heated and polarized presidential . . .