Brazil’s Deeper Contraction Sinks Lenders as Petrobras Advances
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Brazil’s disappointing jobs report added to speculation Latin America’s largest economy is heading to its deepest recession since 1990, sinking bank stocks.
The unemployment rate, which had tumbled to record-lows during President Dilma Rousseff’s first term, rose more than analysts forecast in April. Separately, a gauge of gross domestic product showed a bigger-than-estimated contraction. Companies that depend on domestic demand such as busmaker Marcopolo SA dropped, while Banco Bradesco SA paced losses among lenders.