Although, like Russia, it has a yawning budget deficit, Brazil's economy differs from that of Russia in a number of aspects. By far the largest market in Latin America, Brazil boasts the third largest emerging-stock market after Taiwan and South Africa. Its gross domestic product is about double what Russia's was before it devalued its currency. Brazil's stock-market capitalization was quadruple Russia's and about the size of the Mexican, Argentine and Chilean markets combined. Brazil generates nearly one-third of all goods and services produced in Latin America.
Analysts say Brazil has been a victim of international investors' sudden fear of emerging markets.