Brazilian stocks could lose as much as 10% of their value by August as inflation accelerates and interest rates rise, according to a recent report by Citigroup. This from Bloomberg:

Citigroup strategist Geoffrey Dennis forecast the Bovespa stock index may drop to 65,000 by ‘mid-summer’ from the May 30 close of 72,592.50. The index fell 1 percent to 71,897.25. The New York-based strategist kept his end-year forecast for the Bovespa at 74,000.