Brazil Property News: Brazil's stock exchange makes gains




9th January 2008 01:58


Brazil's stock exchange has gained three per cent, as a "rally in global markets" has prompted investors to "snap up shares".

The Bovespa index of the Sao Paulo stock exchange rose to 62,599.44 points from Monday, reports Reuters, marking a good start to the new year for the Brazilian economy.

Greg Lesko, who helps manage a series of Latin American shares in New York, told Bloomberg that despite pessimistic economic forecasts after 2007's credit crunch some nations may still push ahead.

He said: "It'd be very easy for global growth to surprise on the upside because everyone has been so negative lately."

A strengthening economy could be good news for property investors in Brazil, as economic stability may have a knock on effect on property prices.

Earlier this week property expert Hetal Shah explained the importance of political and economic stability as well as a good tourist industry to a nation's property market.

Hetal said: "If you take for example what is happening in Kenya at the moment, investor confidence has been dented to a great degree.

"Property values will dip considerably [in a country experiencing unrest]…You have to wait and gauge the market…Wait and watch before you decide to part with your money."

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