Brazil special: Q&A with JPM's Sebastian Luparia

Q&A WITH JPM'S LUPARIA

Sebastian Luparia, portfolio manager of the J.P. Morgan Brazil fund, talks to Maria Merricks about his outlook for the region in 2011.

What does the macroeconomic picture for Brazil look like in 2011? The story in 2008 and 2009 was the crisis and subsequent recovery: the crisis was extreme, but not unusual for Brazil. What was unusual this time was its ability to implement counter cyclical policies to fight the crisis. This marked the first time Brazil had the complete financial toolkit – ranging from monetary to fiscal policies – to help overcome a crisis. In 2010, the story was of rising rates and the government had to cool the economy by withdrawing stimulus and starting a tightening cycle of interest rates. Look...