Recession Ghost Scares Brazil’s Stock Market as Lenders Decline

The Ibovespa led losses among the world’s major stock benchmarks as lenders sank and a central-bank survey added to speculation Brazil’s economy will falter.

Analysts increased estimates for inflation this year, while predicting the worst contraction for Latin America’s largest economy since 1990, according to the study. In addition to concern over a further slowdown, stocks also fell with banks after a report said Brazil’s Finance Ministry is close to deciding on boosting the tax on industry profits.