Brazil

Brazil, Emerging Markets Get Roiled, But This ETF Soars 30%

Trading on the Sao Paulo Stock Exchange was temporarily halted after the Bovespa tumbled 10% in early trade, triggering a circuit breaker. (Olivier Goujon/Robert Harding/Newscom)

Another day, another market.

A day after U.S. stocks sold off amid concerns about the Trump administration, the Brazilian market tanked on reports that President Michel Temer may have been directly involved in an ongoing corruption scandal.

Trading on the Sao Paulo Stock Exchange was temporarily halted after the Bovespa tumbled 10% in early trade, triggering a circuit breaker. The benchmark index was down 9.3% in afternoon trading.

IShares MSCI Brazil Capped (EWZ), the biggest U.S.-traded Brazil ETF, plummeted as much as 23% before paring its loss to 16%. The $4.8 billion ETF gapped down below its 50-day and 200-day moving average lines. Before the drop, it had been close…

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