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21.11.2019
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Hot Drinks in Brazil

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The "hot money" phenomenon in Brazil. Because of its high interest rates, Brazil attracts more and more speculative capital flows, called "hot money", under the form of foreign loans, direct or portfolio investments. Actually, the country is directly involved in a carry-trade strategy that tends to appreciate the real, what penalizes the Brazilian exportations of manufactured products. Moreover, capital inflows are extremely volatile, and their departure, causing a fall in loans granted to the Brazilian private banks, could provoke a dangerous burst of the speculative bubble they have contributed to form in the Brazilian real estate sector. Keywords: Brazil; carry-trade ; capital inflows; speculative bubbles.
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If you purchase a report that is updated in the next 60 days , we will send you the new edition and data extract FREE! COVID has shown two facets of hot drinks in Brazil; the resilience and enduring potential of the market at the retail level, and the fragility of on-trade consumption. The latter declined significantly in , as regional lockdowns forced foodservice outlets across the country to close for almost six months, and consumers were slow to return after they reopened.
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