Turim’s Insights

January was flagged by the rise in GameStop shares, which rose more than 140% in the month. This is what our Portfolio Manager, Fernando Verboonen, explains in this month’s webinar.

“The move was relevant, but Turim MFO’s reading is that this move is probably punctual, as managers who were betting on the stock’s decline ended up losing a lot and some of them had to undo positions. But, after the initial shock, the market returned to normality. Therefore, we understand that this was a technical move, which was later corrected”, evaluates Verboonen.

In addition, our strategist Nelson Abrahao spoke about Copom’s January meeting, in which the committee removed forward guidance from the text. According to Nelson, the rise in food prices and the depreciation of the BRL are already being reflected in wholesale prices and pushing inflation. “Some investors anticipate a possible rise in interest rates and, therefore, the market is already pricing this movement.”

Internationally, global markets fell between 0.5% and 1% in January – American markets registered partial declines. The only exception was China, which rose in the month.