Foreign investments in stock exchange break record in May with US$ 2.9 billion
O Estado de S. Paulo
The foreign investors returned at full steam to the Stock Exchange of São Paulo (BM&F Bovespa). An example of that was the record balance of foreign operations in May, R$ 6.083 billion (US$ 2.9 billion), result of purchases of stocks at the value of R$ 43.077 billion (US$ 20.5 billion) and sales of R$ 36.994 billion (US$ 17.6 billion). It is the best balance in the history of the Stock Exchange, that so far had taken place in April 2008, with R$ 6.007 billion (US$ 2.9 billion), before the worsening of the international crisis. With the May result, foreign investments in the stock exchange accumulate R$ 11.2 billion (US$ 5.3 billion) in the year.
The numbers sustain the 43.81% appreciation of the BM&F Bovespa in 2009, far above that of the American and European stock exchanges. Some economists even dare to say the stock exchange regained the status of "apple of the eye" for foreigners, a fact that tends to help in the recovery of the domestic economy.
Many factors explain the return of the investors to the stock market. One of them is the high liquidity of the international market, due to the every time lower interest rates in the developed countries. Just like before the crisis, that makes investors seek investments with greater potential of profitability, emphasizes the Opus Gestão de Recursos economist José Márcio Camargo.
Besides that, the main central banks have already made it clear they will not allow other financial institutions break, as it happened to Lehman Brothers. "Such commitment reduced the aversion to risk. The flight of resources to American bonds and dollars is over".
In addition to these arguments there is the fact that Brazil is in a better tax situation, compared to that of the other Nations, specially compared to that of the developed nations.