# El-Erian Warns Brazil May Be Next Emerging-Market Domino to Fall - Bloomberg

> Mohamed El-Erian suggested Brazil could be the next emerging-market currency to fall after Argentina and Turkey. The Brazilian real led major currency losses on Wednesday despite the central bank offering $1.5 billion in extra swap contracts.

- Date: 2018-06-06 · published 2018-06-06T12:00:00.000Z
- Category: macro · region Brazil · magnitude low
- Page: https://feedsoft.ai/events/5381-el-erian-warns-brazil-may-be-next-emerging-market-domino-to-fall-bloomberg
- Commodities: [Brazilian Real (BRL per USD)](https://feedsoft.ai/c/USDBRL.md)

## Why it matters

Contagion from emerging-market currency stress can weaken the real and push down dollar prices of Brazilian feed exports. Expectations of further weakness could keep pressure on global soy and corn prices.

## Read by commodity

- USDBRL: bullish ▲

## Linked price moves

| Commodity | Date | Window | Change % | z-score | Why linked |
| --- | --- | --- | --- | --- | --- |
| USDBRL | 2018-06-14 | 5 | -5.8% | -3.9 | Real led major currency losses and contagion fears from Argentina and Turkey amplified sentiment-driven selling. |

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| USDBRL | 2020-03-19 | [Emerging Markets Are in the Fastest Collapse in a Generation - Bloomberg](https://feedsoft.ai/events/11018-emerging-markets-are-in-the-fastest-collapse-in-a-generation-bloomberg.md) | -1.1% | +2.8% |
| USDBRL | 2018-06-07 | [Brazil's Real Is in Free Fall - Bloomberg](https://feedsoft.ai/events/5377-brazil-s-real-is-in-free-fall-bloomberg.md) | -2.8% | +2.8% |
| USDBRL | 2022-12-27 | [EMERGING MARKETS-Brazilian real leads Latin American FX down in thin holiday trading](https://feedsoft.ai/events/38431-emerging-markets-brazilian-real-leads-latin-american-fx-down-in-thin-holiday.md) | +5.6% | -0.9% |
| USDBRL | 2022-11-10 | [EMERGING MARKETS-Brazil's real sinks 4%, other FX rally on dollar weakness](https://feedsoft.ai/events/38888-emerging-markets-brazil-s-real-sinks-4-other-fx-rally-on-dollar-weakness.md) | +6.0% | +1.7% |
| USDBRL | 2023-05-02 | [EMERGING MARKETS-Brazil's real leads Latam FX down, stocks near one-month low \| Kitco News](https://feedsoft.ai/events/36149-emerging-markets-brazil-and-apos-s-real-leads-latam-fx-down-stocks-near-one.md) | +0.1% | +1.5% |

## Sources

- bloomberg.com: https://www.bloomberg.com/news/articles/2018-06-06/el-erian-warns-brazil-may-be-next-domino-as-em-contagion-spreads

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.