Brazilian stocks have been pummeled in October’s global market rout. But Martin Hutchinson says this has created a great opportunity for investors. South America’s largest economy still has a robust growth outlook and moderate inflation. These six “bargain basement” stocks are now well worth a look.

Brazilian stocks as measured by the country’s Bovespa benchmark stock index has fallen 20% from its May 20 record, but that doesn’t mean it’s time to give up on Latin America’s largest economy. Brazil still has plenty to offer, and with stock valuations low, it’s a good time to go bargain hunting.

Editor’s Note: Brazil’s blistering economic performance – 5.8% first quarter growth this year – has given a big boost to Banco Bradesco. The Bank has an annual profit growth of 30%, says Mike Caggeso. Right now, Brazil’s a safe investment because it has managed to ‘decouple’ from the faltering US economy and doesn’t have to rely on US imports for growth.

Skyrocketing oil prices are having a negative effect on Brazil though – stocks fell for the first time in three days today on fears that oil prices would cause inflation, stifling growth. Brazil’s industrial output also caused worries, rising by ‘only’ 2.4% in May, compared with 10% in April.

Brazil is a lot like a person who gets a new job, pays off some of his debts, and has his credit score upgraded.

Visa Inc.’s (V) record-setting $17.86 billion initial public offering (IPO) last month provided a much-needed dose of good news to the economic mire we’re in.