Brazil shares end week with heady gain, optimism
Reuters, Friday, October 30, 1998 at 16:23
SAO PAULO, Oct 30 (Reuters) - Brazilian shares ended a
tense week on a high note, climbing 7.8 percent on Friday as
optimism swelled on the long-awaited international financial
package to be led by the IMF, traders said.
A declaration of support from the Group of Seven leading
industrial nations Friday for Brazil's fiscal austerity plan,
unveiled this week, also lent strength to local buying, they
said.
The Sao Paulo Stock Exchange Bovespa Index advanced 509
points or 7.8 percent to close at 7,047, off the high of 7,108,
on moderate volume of 453 million reais.
The Bovespa had shown a weak performance all week, even
with a fairly positive reaction from analysts to the
government's fiscal austerity plan.
"We really needed a recovery, but I think today was a bit
exaggerated," said one Sao Paulo trader.
He said that volume was still on the weak side and
indicated that the gains were not likely to stick.
Benchmark Telebras receipts <RCTB40.SA. jumped 7.7 percent
to 91.00 reais, while federal oil company Petrobras <PETR4.SA>
added 7.5 percent to 150.00 reais.
(Sao Paulo newsroom 55 11 248 5573))
Copyright 1998, Reuters News Service |
