Mon Sep 14, 2015 11:14am EDT Fitch: Brazil's Tax Hike on Banks May Trim Loan Originations (The following statement was released by the rating agency) NEW YORK, September 14 (Fitch) Brazil's recently announced increase on the social security tax levied on banks could negatively affect the sector's net earnings, says Fitch Ratings. Fitch expects banks... Continue Reading →
Brazil Downgrade Leaves Firms With $270 Billion Debt Hangover
Brazilian companies that piled on $270 billion in international debt during the boom years are seeing their funding costs rise after the nation’s credit rating was cut to junk. The spread for five-year credit-default swaps to protect against a government default, one benchmark for setting what Brazilian companies must pay for external funding, has jumped... Continue Reading →
Pimco, Fidelity Stung by Collapse of Petrobras’s 100-Year Bond
When Petroleo Brasileiro SA sold 100-year bonds in June, the move was largely seen as a sign the corruption-tainted oil producer had put the worst of its problems behind it. For investors like Pacific Investment Management Co., Fidelity Management & Research Co. and Capital Group Inc. -- the threebiggest holders of the securities -- that... Continue Reading →
China, Brazil Among Emerging Markets at Risk of Bank Crisis
Credit growth in China, Brazil and Turkey doesn’t only risk spurring a hangover in bad debt -- it also signals a banking crisis is on the horizon, according to the Bank for International Settlements. A ratio of credit to gross domestic product, a measure of how much private-sector credit has deviated from its long-term trend,... Continue Reading →
Petrobras – Standard & Poor’s reviews Petrobras’ global ratings
Petrobras - Standard & Poor’s reviews Petrobras’ global ratings 09/10/2015 Rio de Janeiro, September 10, 2015 – Petróleo Brasileiro S.A. – Petrobras informs that the rating agency Standard & Poor’s (S&P) announced the revision of Petrobras' corporate debt rating from BBB- to BB. With this grade Petrobras is no longer an Investment Grade company for... Continue Reading →
Petrobras Crowned New King of Junk Bonds After Rating Downgrade
There’s a new king in the $2 trillion global junk bond market. Brazil’s state-owned oil producer Petroleo Brasileiro SA, with $56 billion of outstanding securities, has become the world’s largest non-investment grade corporate issuer after Standard & Poor’s cut its credit rating seven months after a similar move by Moody’s Investors Service. The Rio de... Continue Reading →
Petrobras Cut to Junk by S&P Following Brazil Downgrade
Petrobras Cut to Junk by S&P Following Brazil Downgrade Paula Sambo September 10, 2015 — 5:02 PM BRT Reuters S&P joins Moody's in taking away Petrobras investment grade Rate cut could lead to selloff by institutional investors Petroleo Brasileiro SA, the oil producer mired in Brazil’s largest-ever corruption investigation, was downgraded to junk by Standard... Continue Reading →
Brazil credits resilient after junk rating
Brazilian credits were rebounding Thursday from earlier lows after S&P downgraded the country, which is facing its worst economic crisis in decades, to junk. Troubled state oil giant Petrobras saw its 2024s widen 40bp-50bp on the news of the downgrade on Wednesday before tightening to 695bp-685bp. The sovereign's five-year CDS was trading at around 390bp... Continue Reading →
Petrobras Investment Plans at Risk From S&P Downgrade
Petroleo Brasileiro SA’s investment plans will be at risk if Standard & Poor’s downgrades the state-controlled producer to junk as it did with Brazil’s sovereign rating, said analysts at HSBC Holdings Plc and BTG Pactual. Petrobras plans to invest $108.6 billion on exploration and production through 2019, or 83 percent of its business plan, to... Continue Reading →
Brazil Returns to Junk as Bonanza Ends and Crisis Snares Levy
Brazil is junk -- again. Seven years after Standard & Poor’s lifted the nation’s credit rating to investment grade, reflecting the rising influence of emerging markets, Latin America’s largest economy has lost its vaunted designation. S&P’s decision late Wednesday to cut Brazil’s rating one step, to BB+ with a negative outlook, underscores its worsening economic and... Continue Reading →
Brazil Energy Insight 