Petrobras (PBR, quote) issuing $11 billion in debt to set a record for an emerging markets debt offering. The company is using the opportunity of negative real rates in Brazil (officially no, but in terms of true cost of living, YES), and most of the world to tap a global debt market starving for yield.
Petrobras (PBR, quote) announced that the company is boosting cashflow-negative and loss-leading gasoline imports at their fastest pace ever in attempt to hold down prices for alternative fuels, while trying to block investment in alternatives, or at least make investments in these kinds of products– namely, ethanol — unattractive.
We continue to see a powerful breakout in Brazil and with net short Ibovespa futures >$3.5B there is room for additional move.
Ever seen “Weekend at Bernie’s”? Go check it out. Meanwhile now that Chavez’ death is a formality how do you play Venezuelan markets, and what has truly changed?