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Tariffs Be Damned. These Latin America Funds Are Buys.

1. Brazil ETF rose 39% in 2025, outpacing S&P 500's 14% gain. 2. U.S. tariffs on Brazil manageable; exports count for less than 2% of GDP. 3. Latin American stocks are undervalued, with a P/E ratio around 10. 4. Investors diversifying away from U.S. amid high tariffs and economic policies. 5. Interest rate cuts expected in Brazil, boosting stock performance potential.

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FAQ

Why Neutral?

Tariffs on Brazil are significant but manageable; SPY is less affected. Historical examples show that external trade factors often have limited direct impact on SPY.

How important is it?

Although focused on Brazil, investor sentiment may shift away from U.S.; could impact SPY.

Why Short Term?

Immediate effects may be limited, but long-term outlook depends on macroeconomic stability. Similar situations have resulted in eventual stabilization of SPY after a temporary impact.

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