Wednesday, June 15, 2011

Breaking the back of DC borrowing

SAO PAULO, June 15 (Reuters) - For the first time, investors saw Brazilian debt as less risky than highly rated U.S. debt, which Finance Minister Guido Mantega said on Wednesday was a reflection of Brazil's economic resilience and soundness.

Mantega, speaking at a news conference in Brasilia, boasted that financial markets briefly perceived the once debt-laden emerging market economy as bearing lower risk than the United States thanks partly to its stronger fiscal position.
Great news when investors begin to look accurately at sovereign debt.  Hopefully this will stop the borrowing in DC.

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