Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Telebras (TBH) & Brazil -- Ignore unavailable to you. Want to Upgrade?

To: Steve Fancy who wrote (6978)	8/21/1998 12:57:00 PM
From: md1derful	Read Replies (2) \| Respond to of 22640

SF: Jim Fink on yahoo just reported cnbc reporting that Ven devalued. Maybe a rally now..buy the news??

To: Steve Fancy who wrote (6978)	8/21/1998 4:53:00 PM
From: Steve Fancy	Respond to of 22640

REPEAT: Global Markets Gone Haywire Threaten Latin America By MARGARITA PALATNIK Dow Jones Newswires NEW YORK -- The wonder of global integration looked more like a curse for Latin America this week as a seemingly unending flow of negative news from emerging markets sent the region's assets spiraling downwards and cast doubts over whole economies. Market participants say they have never experienced the combination of a downturn of the magnitude affecting emerging nations in 1998 and the level of interconnection - actual or perceived - among markets as seen this year. "I've never seen total malaise like this before, with the Dow finally buckling, and debt prices as low as they are now," said Flemings Latin America strategist Walter Stoeppelworth. Analysts and economists have stressed for months that despite shortcomings such as worrisome fiscal deficits, Latin American economic fundamentals are sound. They generally commend governments from Mexico to Brazil for managing their economies so well under such global turmoil. Latin American ministers have even been held up as examples for their beleaguered Asian counterparts, after years of being told that the "Tigers" had the right ideas. But it all came crumbling down this week after Russia on Monday devalued its currency and moved to restructure debt. That prompted investors to speculate on which developing country's currency would be next in line, and Venezuela was chosen. That, in turn, unleashed intense selling of Latin American currencies, stocks and bonds. Despite the onslaught, Venezuelan and Brazilian authorities continued to insist that they won't devalue their currencies. Mexico adopted two separate measures this week to tighten liquidity and limit interbank lending in a show of its resolve to shore up its peso.

To: Steve Fancy who wrote (6978)	8/21/1998 4:58:00 PM
From: Steve Fancy	Read Replies (1) \| Respond to of 22640

Brazil Malan:Mkt Fall Not Result Of Poor Econ Fundamentals Dow Jones Newswires BRASILIA -- Brazilian Finance Minister Pedro Malan said the market turbulence on Friday wasn't due to foreign investors' worries about the Brazilian economy's fundamentals. The Sao Paulo Stock Exchange's Bovespa Index closed 2.9% lower Friday according to preliminary figures, after dropping as much as 10% earlier in the day. The real (BRL) closed at BRL1.1750 against the dollar, 0.1% weaker than Thursday's closing of BRL1.1738. In a statement issued through his press office, Malan said that Brazil's economic fundamentals "are more solid than with the eruption of the Asian crisis" last October. The sharp falls in markets across Asia, Europe and the Americas are a product of the globalization affecting both developed and developing countries, Malan said. "Therefore, it doesn't stem from Brazil's internal economic situation," Malan said. Malan's press office said the minister went about his business as usual Friday. He spoke by phone with Brazilian Central Bank president Gustavo Franco, who was in Rio de Janeiro. The details of that conversation weren't disclosed.