Dennis Gartman Not Big on Brazil

Despite a rally in Brazilian stocks on Monday, investors should stay away, Dennis Gartman said on CNBC.

Stocks and exchange-traded funds linked to Brazil traded higher after pro-market challenger Aécio Neves made a surprise election comeback against incumbent President Dilma Rousseff.

But Gartman, a commodities trader and the publisher of the widely followed Gartman Letter, wasn’t banking on a win by Neves.

“He has no chance whatsoever to win the election,” he said. “President Rousseff is going to win. She is a Marxist, a former guerilla. I’m sorry, ex-Marxists and former guerillas do not change their stripes.”

Gartman said that he was wary of Rousseff.

“I’m fearful of this young lady being president again,” he said. “She is going to, I think, move even farther left.”

Looking forward to Alcoa’s quarterly earnings report, scheduled to be released after Wednesday’s market close, Gartman said that he was bullish on aluminum and steel producers.

via CNBC

This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.

Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza