Robbing Peter to Pay São Paulo

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As massively, hugely, and grotesquely an “up” day it was for every asset from kitty litter to equities to futures, even in this everything-is-green environment, Brazil couldn’t log a positive change. This has been the Old Faithful for the bearish set, steadily bleeding itself lower week after week, month after month.

What’s more exciting is the long-term direction. I think Brazil has many, many months left of sinking, with the rough course illustrated by that red trendline. This all lines up quite nicely with what EWZ has been doing for years now.