Why a slowdown in Brazil is almost as bad as the China slowdown

Bob Pisani – CNBC, 7/31/2015 

Can it get any worse for Brazil? Last week the government lowered the country’s growth output from a modest gain to a contraction of 1.49 percent. Unemployment, no doubt under-reported, is at 6.9 percent in June and rising.

Dilma Rousseff, the country’s president, who had previously been a big spender, is now pushing austerity to maintain the country’s credit rating.

To little avail. She is on a collision course with Congress, which wants to raise wages and spend even more. Labor unions are threatening ongoing strikes.

Read more…

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s