Brazil’s Digital Banks Slide in New York as a Nubank Downgrade Hits Home
Brazil's New York-listed fintechs fell up to 8.6% after a Nubank downgrade and a Fed hike, a warning sign for bets on the Brazilian consumer. The post Brazil’s Digital Banks Slide in New York as a Nubank Downgrade Hits Home appeared first on The Rio Times .
Six Brazilian digital banks listed on New York stock exchanges saw their shares tumble in early October amid a Nubank downgrade and a recent US interest rate hike, according to news site Finsiders Brasil. The decline marked a week of significant drops for these digital fintechs, which serve more than a hundred million Brazilian customers.
Nubank, the largest of the six, fell 4.55% to US$13.65, while payments firm PagBank fell 7.12% to US$9.26 and lender Agibank fell 5.72% to US$6.18. The market-wide decline was driven by concerns about Brazil's consumer credit environment and the impact of higher US interest rates on the prospects of fast-growing, funding-intensive companies.
Written by urgent.news from The Rio Times's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
