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Flávio Bolsonaro took a surprise lead over Luiz Inácio Lula da Silva in the first round of Brazil's presidential election, making him the favorite to win the runoff which is to be held October 25. Brazil's real surged against the dollar in Sao Paulo Monday morning.
Shares of Franklin FTSE Brazil ETF (NYSEARCA:FLBR - Get Free Report) reached a new 52-week high on Monday. The company traded as high as $27.42 and last traded at $27.0740, with a volume of 127415 shares changing hands. The stock had previously closed at $23.93. Franklin FTSE Brazil ETF Stock Up 12.7% The company has
I maintain an optimistic outlook on Brazilian equities via the Franklin FTSE Brazil ETF ahead of the October 2024 presidential election. FLBR offers diversified exposure to Brazil, which faces heightened volatility due to fiscal concerns and a polarized, unpredictable election. The market expects an opposition victory, viewed as more likely to deliver fiscal adjustment, potentially unlocking a 23.5% upside if P/E multiples revert to pre-pandemic levels.
South Korea and Taiwan are grabbing the majority of financial news headlines when it comes to international exposure, but a peek inside Latin America reveals potential opportunities. Brazil, in particular, could be offering investors ample value in both equities and bonds beyond those aforementioned countries already benefiting from the artificial intelligence (AI) buildout.
The iShares MSCI Brazil ETF (NYSEARCA:EWZ) is the reflex trade for U.S.
I reiterate a buy rating and strong preference for the Franklin FTSE Brazil ETF over iShares MSCI Brazil ETF. FLBR offers greater diversification, a higher dividend yield (5.77% vs. 3.78%), and a lower expense ratio (0.19% vs. 0.59%). FLBR is more aligned with the Brazilian equities thesis: commodity exposure, hard asset sensitivity, and attractive valuation (8x earnings vs. EWZ's 8.5x).
Brazil's ethanol and sugar producers on Thursday despaired at the imposition of new 25% tariffs on Brazilian goods by the U.S. government, lamenting a rollback in cooperation between the two countries.
Brazil's Agriculture Ministry has adjusted export controls for meat and derivatives to meet European Union antimicrobial usage requirements, aiming to prevent a suspension of shipments to the bloc starting in September.