Economics
Bovespa Declines as Price Outlook Pushes Utilities Lower
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The Bovespa index sank to a two-week low as Cia. Energetica de Minas Gerais led a plunge by electric power companies on concern the Brazilian utility regulator’s rates review may curb industry profits.
The MSCI Brazil/Utilities index tumbled the most since September in the worst performance among 10 industry groups. Light SA and Centrais Eletricas Brasileiras SA also dropped after Brazil’s electricity regulator Aneel cut the preliminary asset valuation used to estimate rate reviews for Cemig, as Brazil’s second-biggest electricity company by market value is known.