Brazil shrs close up on options, New York
Reuters, Friday, December 12, 1997 at 16:08
SAO PAULO, Dec 12 (Reuters) - Brazilian stocks ended 0.42 percent higher Friday in wild trade as players jostled prices ahead of Monday's options expiry and shares mostly tracked Wall Street's rollercoaster ride, brokers said.
"The market was very volatile today. It was mostly day trading," said a trader at local Crefisul brokerage.
Sao Paulo's 51 share Bivspa index (INDEX:$BVSP.X) rose 38 points to close at 9,147 on moderate turnover totalling 782.1 million reais ($704.6 million).
Much of the trade was focused on Telebras preferred (SAO:TEL_.P), the bolsa's bellwether issue, which closed up 0.35 percent at 113.40 reais.
Traders said Wall Street, where Telebras and other major Brazilian blue chips trade as American Depositary Receipts (ADRs), dictated the market's direction.
But they said price-wars between investors jostling for advantage ahead of Monday's options settlements combined with worries locally and abroad about Asia's financial stability, raised the level of volatility.
Shares rose more than 2.5 percent in early trade, only to drop more than 1.8 percent by mid-afternoon before rising again at the close.
Among other blue chips, federal power holding Eletrobras preferred B ended down 0.37 percent.
State oil firm Petrobras preferred (SAO:PET_.P) rose 1.28 percent to close at 238 reais.
And mining giant Cia Vale do Rio Doce preferred (SAO:VAL_.P) ended flat at 19.40 reais.
2485570, james.craig@reuters.com))
Copyright 1997, Reuters News Service |
