EWZ: Surf The Uptrend Now, But Beware Of The Rollercoaster In The Long Run

Summary

  • The iShares MSCI Brazil ETF has been on an upward trend with a +30.93% YTD return, indicating positive momentum and a potential long opportunity.
  • The current P/E ratio of the iBovespa is near its all-time low, suggesting that the market may be undervalued and presenting a great buy opportunity.
  • Expectations of interest rate cuts by the Brazilian Central Bank could stimulate economic growth and drive stock market performance in the medium term.
Brazilian fan walking and holding a brazilian flag on the city

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Investment Thesis

The iShares MSCI Brazil ETF (NYSEARCA:EWZ) has been experiencing an upward trend since the beginning of the year, with +30.93% YTD, indicating positive momentum. This trend seems to be just starting and presents a potential long opportunity for investors in the following

This article was written by

English and Brazilian Portuguese translator, proofreader, editor, and content writer specializing in Finance, Economics, and Investments. My strategy is focused on wealth preservation, income, and long-term appreciation. My national portfolio is made of Brazilian hand-picked stocks and real estate funds, and my international one consists of ETFs (of Stocks and REITS) that cover the entire globe.

Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

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