Read Larry Connors' blog – Short Term Trading Strategies
Parent company InBev's desire to acquire Anheuser-Busch appears to be positive for AmBev. Despite the difficult economic environment throughout the world due to the global credit crunch, the company, which is focusing on low cost, daily use products, is not tied directly to the international economic cycle.
Moreover, we believe that the company being a producer of a low-cost, daily use product focusing on domestic markets will be less exposed to the recent international crisis. Indeed, we have an optimistic view on the medium to long term demand for soft drinks in Latin America.
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