SAO PAULO, March 15 Ratings agency Moody's
Investors Service upgraded on Wednesday the outlook for Brazil's
sovereign rating to "stable" from "negative," saying Latin
America's largest economy is poised to exit its deepest
recession on record.
In a statement, Moody's Vice President Samar Maziad said a
stabler macroeconomic outlook is likely to bolster the
government's reform agenda, supporting Brazil's "Ba2" rating.
Concerns over potential spillovers from fiscal woes at
state-controlled oil company Petróleo Brasileiro SA
and at state governments, which had underpinned the negative
outlook, have also abated, he added.
Front-month Brazilian real future contracts extended
gains following Moody's decision. Spot markets for the currency
and stocks were closed at the time.
(Reporting by Bruno Federowski; Editing by Daniel Flynn)