It could be a win-win situation for both Brazil and exchange traded funds (ETFs) that hold Wal-Mart as a top component.
Wal-Mart (WMT) is looking to expand in Brazil, where they are the third-largest retailer, in hopes that Brazilians will shop till they drop.
Wal-Mart is looking to invest $1.1 billion into the country in 2009, which is up 50% they planned to spend this year, reports Fabiola Moura for Bloomberg. This will be the largest investment endeavor since the company entered the country in 1995.
In Brazil, economic growth may be at a snail’s pace, but gross domestic product is likely to expand at more than twice the pace of the United States’. In 2009, more than 90 new stores are planned, up 28% from the 318 stores open now. It also may generate 9,000 new jobs.