June 11, 20 - 7:49 pm - LABS

Even amidst a national holiday, Brazil’s assets suffered in Wall Street

Brazil’s stock exchange had no trade this Thursday due to the Corpus Christi national holiday, but the country’s assets were severely hit on a bad day in Wall Street. Concerns that a second wave of COVID-19 could plague economies that are reopening have shattered the recent optimism of the markets.

Valor Investe informed that EWZ, the main Brazilian exchange-traded fund in New York, closed down 7.84%, while Brazil Titans 20, the ADR (acronym for American Depositary Receipts) that includes the main Brazilian shares traded in the US, plunged 8.71%. ADRs offer a way for shares listed in other countries to be traded in the United States.

In addition to the fear of a second wave of the pandemic, the pessimistic tone adopted by the Federal Reserve chairman Jerome Powell weighed in on investors’ mood about the resumption of the economy.