Brazil’s real is in a wicked slump against against the dollar and resides at multi-year lows against the greenback. The real could face increasing pressure as global investors price in the rising odds of additional credit downgrades for Brazil. [Bad News for Brazil ETFs]
Last week, Standard & Poor’s stripped Brazil of its investment-grade credit rating and some market observers believe further credit downgrades for the country are possible, perhaps in the near-term. That could be good news for BZQ.
ProShares UltraShort MSCI Brazil Capped ETF