Brazil stocks rise on US jobs data, retail deal
Monday, 7 December 2009
SAO PAULO, Dec 6 (Reuters): Brazilian stocks moved higher in early trading Friday, benefiting from a takeover activity between two retail rivals in Brazil and as better US job numbers inspired investors to take on risk.
The benchmark Bovespa index added 1.1 per cent to 69,063.30, reversing losses in the previous session.
The gains came as data from the United States showed employers there cut far fewer jobs than expected in November, suggesting the labour market in the world's biggest economy might be slowing its long slide.
"The numbers were quite surprising," said Jankiel Santos, chief economist for BES Investimento. "The knee-jerk reaction is that this is extremely positive for the markets."
The prospects of a recovery taking hold in the United States, he added, could prompt risk-taking among investors.
The benchmark Bovespa index added 1.1 per cent to 69,063.30, reversing losses in the previous session.
The gains came as data from the United States showed employers there cut far fewer jobs than expected in November, suggesting the labour market in the world's biggest economy might be slowing its long slide.
"The numbers were quite surprising," said Jankiel Santos, chief economist for BES Investimento. "The knee-jerk reaction is that this is extremely positive for the markets."
The prospects of a recovery taking hold in the United States, he added, could prompt risk-taking among investors.