Financial Markets…India’s rupee climbed to a seven-month high against the dollar as foreign investors stepped up purchases of the nation’s stocks and bonds by $3.5 billion this month amid election optimism. Investors have speculated the election of a new government will accelerate the country’s economic recovery. The currency gained 0.5% to 60.478 per dollar after appreciating to 60.475, the strongest level since August 12.
Financial Markets…Developing-country stocks fell for the first time this week on China concern. The benchmark MSCI Emerging Market Index fell 0.3%, snapping a two-day gain, as China’s broader stock index dropped 0.8% and the country’s currency weakened to near an 11-month low against the dollar. The collapse of property stocks and an increase in money-market rate spurred a slide in Chinese stocks. Russian stocks posted sharp declines as well amid lingering tensions over Ukraine.
Financial Markets…Brazilian state-run oil company Petrobras sold $8.5 billion of international bonds yesterday, as the company continued to raise funds for its massive investment plan (some $221 billion over the next five years). The transaction comprised of six tranches with four different maturities. Petrobras’ bonds accounted for 40% of total bonds sold by Latin American sovereign and corporate borrowers thus far this year. The company also issued record-breaking $11 billion worth of debt last May.