The US Federal Reserve might not have been thinking of Brazil when it cut interest rates by half a point in September, but the home of Pelé has been an unlikely beneficiary of US dovishness.

Lower interest rates meant US investors turned their attention to emerging markets equities and businesses. The result was a carnival of investment in Brazil just as the country was continuing to inch its way to investment grade status.

Deal activity boomed throughout 3Q24. The increasingly liberalized sector of sports betting is becoming a hot market in a soccer mad nation. One company seeking to score big returns here is Flutter Entertainment [NYSE:FLUT, LON:FLTR] which bought a majority stake in Betnacional operator NSX Group for USD 350m just before the Fed decision.

https://mergermarket.ionanalytics.com/content/1003914075

Thiago Barrozo, Mergermarket’s Latin American editor, joins Dealcast host Julie-Anna Needham to discuss why Brazilian dealmakers are in such a good mood, despite terrible flooding earlier in the year.

• Why will upcoming tax reforms continue to help the market?
• What are the hottest areas in Brazilian tech?
• Why is the sports betting liberalization such a big deal?

All this and more in this week’s Dealcast