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

To: md1derful who wrote (7700)	9/10/1998 10:47:00 AM
From: Steve Fancy	Read Replies (1) \| Respond to of 22640

>>...it beats this slow bleeding which we are going through now!!!<< Doc, ever had a patient bleed to death? I'd hate to see what accelerated bleeding is. Wonder how much lower she can go. I think it may be close. FWIW, while on vacation I comtemplated not posting here any longer, but decided I had a resposibility to follow through. This investment has been a disaster this year and I sincerely regret sending out all the analyst reports and other bullish effort I put into this thread. But, I can honestly say that everyone following has had access to all the information I used to form my decisions. Appreciate the support...this will pan out yet. sf sf

To: md1derful who wrote (7700)	9/10/1998 10:54:00 AM
From: Steve Fancy	Respond to of 22640

Brazil Bovespa (INDEX:$BVSP.X) tumbles on capital fight woes Reuters, Thursday, September 10, 1998 at 10:01 SAO PAULO, Sept 10 (Reuters) - Brazilian stocks plunged 6.13 percent in less than half an hour after government measures failed to halt huge dollar outflows from the country, traders said. Sao Paulo's key index fell to 5,309 points. Traders said declines in Europe and expectations of a drop on Wall Street also sent Brazilian stocks plunging. "All of the markets out there are falling and a drop on Dow Jones affects us a lot," one trader said. "Investors want cash to protect themselves." Copyright 1998, Reuters News Service

To: md1derful who wrote (7700)	9/10/1998 10:57:00 AM
From: Steve Fancy	Respond to of 22640

Brazil's budget gap rises to 7.27 pct GDP Jan-June Reuters, Thursday, September 10, 1998 at 10:36 BRASILIA, Sept 10 (Reuters) - Brazil's nominal budget deficit rose to 7.27 percent of gross domestic product in the January-to-June period, up from a revised 6.46 percent in the January-to-May period, the Central Bank said. The deficit, also known as the public sector borrowing requirement, covers local, state and federal government expenditures and is one of the key indicators of Brazil's fiscal health. The latest figure revealed a marked deterioration in the nominal budget account, which showed a deficit of 3.85 percent of GDP in the January-to-June period of 1997, the bank said. The nominal budget deficit includes the nominal cost of interest payments on government debt. Economists say Brazil's high nominal budget gap makes its currency vulnerable to speculative attacks amid global market turmoil. Brazil's primary budget account, which includes local, state and federal spending but not interest payments, posted a surplus of 0.12 percent of GDP in the January-to-June period, down from 0.91 percent for January to May. Brazil's net public sector debt rose to 346.57 billion reais at the end of June, or 38.1 percent of GDP. That is up from 334.54 billion reais, or 36.9 percent of GDP, in May, the bank said. Of the total, Brazil's internal domestic debt was 326.457 billion reais in June, or 35.9 percent of GDP. That was up from 315.36 billion in May. External debt at the end of June was 20.116 billion reais, or 2.2 percent of GDP, up from 19.183 billion, or 2.1 percent, in May. The Central Bank also said the monetary base grew 1.1 percent to 33.479 billion in July from June. The Central Bank was holding a news conference to explain the figures. john.miller@reuters.com)) Copyright 1998, Reuters News Service

To: md1derful who wrote (7700)	9/10/1998 10:58:00 AM
From: Steve Fancy	Respond to of 22640

INSTANT VIEW-Brazil nominal budget deficit widens Reuters, Thursday, September 10, 1998 at 10:36 SAO PAULO, Sept 10 (Reuters) - Brazil's nominal public sector deficit widened to 7.27 percent of gross domestic product in the period between January and June, the Central Bank said Thursday. Brazil's net public sector debt rose to 38.1 percent of GDP as of June, the Central Bank said. Following are comments from economists on Brazil's deficit. MARCELO ALLAIN, CHIEF ECONOMIST AT BANCO BMC "The nominal public sector deficit is higher than I imagined and it represents the heavier weight of interest on public debt." "The government already adopted measures to reduce the deficit, but the bill on interest is still very high and ends up interfering in the deficit, and that's worrisome." CAMILA FARIA LIMA, ECONOMIST AT BANCO SANTANDER "The result is certainly worse than I expected, which was a result closer to the 6.52 percent of GDP registered the month before." "There was a fairly strong deterioration in the primary deficit that changed expectations of a nominal deficit, which were 6.5 to 7 percent of GDP in the next few months. The expectation now is that the government will take measures to reduce that deficit. I think we could see more measures after October 4 elections." ELISA PESSOA, CHIEF ECONOMIST AT BANCO FONTE CINDAM "The numbers are pretty bad and I think foreign investors look closely at that figure, which could end up having a negative effect on capital flows." "I think that if the announced 4 billion-real budget cut is really carried out and interest rates stay at the same level for a short period, the deficit could be turned around." "Another thing that needs to be evaluated is when the government is going to get the revenue from Telebras to offset the deficit." Copyright 1998, Reuters News Service

To: md1derful who wrote (7700)	9/10/1998 11:00:00 AM
From: Steve Fancy	Respond to of 22640

Brazil Bovespa drops 10.01 pct, trade is halted Reuters, Thursday, September 10, 1998 at 10:36 SAO PAULO, Sept 10 (Reuters) - Brazil's Bovespa index (INDEX:$BVSP.X) was down 10.01 percent at 1107 local/1407 GMT Thursday, triggering a circuit-breaker that halted trading for 30 minutes. The Bovespa tumbled to 5,089 amid a panic over capital flight sparked by a series of big dollar outflows. Investors are dumping stocks after another $1.142 billion fled the country on Wednesday, bringing losses through the commercial and floating foreign exchange markets so far this month to $8.768 billion. Sharp declines of more than 3 percent on Wall Street also contributed to the Bovespa's drop. Trading was to resume at 1137 local/1437 GMT. If the index falls another 5 percent, the circuit-breaker will be triggered again, halting trade for another hour. Copyright 1998, Reuters News Service