Goldman Says Buy World’s Worst Stock Market Because Rebound Is Coming

- Advertisement -
- Advertisement -
- Advertisement -
- Advertisement -

Goldman Sachs is bullish on the world’s hardest-hit stock market.

Down more than 48% this year when measured in dollars, Brazilian stocks will benefit from growing appetite for risky assets and a recovery in commodities prices during the second half of 2020, strategists led by Kamakshya Trivedi wrote in a report dated May 20.

“Brazilian equities are an ideal bounceback candidate,” the strategists said. They recommended investors go long the benchmark Ibovespa index with a target of 90,000 points, or about 9% above current levels.

Investors have fled from Brazilian stocks and its currency this year as the Covid-19 pandemic battered the economy and worsened the nation’s already-fragile fiscal outlook. Assets have been further undermined by political turbulence and a lack of confidence in President Jair Bolsonaro as he downplays the coronavirus threat even as Brazil becomes the world’s hotspot for new infections.

To be sure, a rally to 90,000 would still leave the Ibovespa about 22% below where it was at the end of last year.

This article was originally published on finance.yahoo.com/news.

Home of Science
Follow me

- Advertisement -

Discover

Sponsor

Latest

Netflix Movie Releases

Netflix is a perfect choice for the internet community and the general public. It offers all the latest movies, TV shows, music, books, and...

Debt-Ridden Argentina Can’t Stop Precious Dollars Draining Away

View photos As Argentina negotiates with creditors to restructure its debt following a ninth default, the government is struggling with another crisis: preventing precious dollars...

These 5 states are showing early signs of a job market recovery

The number of jobs lost due to the coronavirus shutdown continue to mount, with the latest weekly total of Americans applying for unemployment benefits coming in above 1.5...

Hot Tea

Check out our latest episode of SHEEN Hot Tea as Toni Chapman Merced, Tre Chapman, Thao Vo, and Jared Buchholz dive into the latest...

Mohamed El-Erian: The stock market could still go back down to new coronavirus lows

KEY POINTS The stock market could still touch new lows as uncertainty around the coronavirus pandemic persists, Mohamed El-Erian argued Friday. “I don’t think we’re...
Home of Science
Follow me