Brazil Stocks Lead Weekly Losses as Goldman Sachs Sees Headwinds

Brazil’s stocks led world losses this week, missing out on a rally in emerging markets, as Goldman Sachs Group Inc. predicted Latin America’s largest economy will face more challenges.

The shares swung between gains and losses on Friday after the New York-based bank said Brazil will continue to face strong headwinds from high borrowing costs, political turmoil and a drop in consumer and corporate confidence. The economy contracted more than forecast in August as policy makers keep interest rates at a nine-year high to combat above-target inflation.