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Eletrobras -10% as privatization hopes fade

Published 05/23/2018, 01:07 PM
© Reuters.  Eletrobras -10% as privatization hopes fade
  • Eletrobras (EBR -10.1%) plunges ~10% after the head of Brazil's lower house of Congress said it would not vote on a presidential decree outlining rules for the sale of state-controlled power companies, instead asking Pres. Temer to send a draft bill.
  • The decision likely ends the planned privatization of the state-run power company and some of its subsidiaries for this year.
  • With Brazil's general election scheduled for October, the Congress likely will not have enough time to evaluate and vote on a new draft bill.
  • Shares of Petrobras (PBR -3.1%) also are sharply lower.
  • ETFs: EWZ, BRZU, BZQ, UBR, DBBR, FBZ
  • Now read: Hawaiian Electric: Trouble In Paradise


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