Brazil’s Bovespa dragged down by Petrobras plunge
SAO PAULO: Brazil's main stock index sank on Wednesday as shares of staterun oil company Petrobras plunged on concerns over potential losses stemming from a multibillion-dollar corruption scandal.
The benchmark Bovespa index dropped about 1.4 percent and was on track for its weakest closing level in over three weeks, while the broader MSCI Latin American stock index erased the previous session's gains.
Petrobras released unaudited third-quarter results on Wednesday after months of delays, though the statement left investors in the dark over the financial impact of the kickback scheme that investigators unveiled last year.
Preferred and common shares of Petroleo Brasileiro SA , as the company is formally known, both shed about 12 percent, their biggest loss in three months.
"It's quite frustrating," wrote analysts at Brazilian brokerage Planner in an investor note. "Everyone was waiting for these numbers in order to have some kind of measure of the losses and the value of the company's assets."-Agencies