14 September 2010

BRASIL: Japan Gorges On High Interest Government Debt.

BLOOMBERG/ By Tal Barak Hari /
      The Japanese are buying more of Brasil's bonds than any region in the world to take advantage of a high interest rate now at 10.75 %, with a net $7.6 billion in the first seven months of 2010, more than the U.S., Canada and Australia combined and exceeding the U.K. and Euro region.
     “The Japanese are probably some of the most aggressive investors because they know that the carry trade is very valuable,” said money manager Luis Fernando Lopes. “Rates aren’t going down in the foreseeable future and that’s an interesting play on fixed income.”