Brazilian market hurtby crisis of confidence

The Brazilian market is continuing to struggle amid concerns that political uncertainty and the likelihood of an Argentine-style government debt default are increasing. The crisis in confidence has hit the Brazilian stock market, with the Brazilian Bovespa Stock Index slumping 17.19% in the period 23 May to 21 June in local currency terms. Over the period 25 June 2001 to 21 June 2002, the fall is even more marked with losses in local currency terms of 28.49%. Analysts say that concerns over the sustainability of debt comes hand in hand with a lack of conviction in the economic pol...