Particularly important was the uncertainty  BIS Review 1/2009  3  caused by a markedly deteriorated international scenario, which led to a change in the composition of the citizens’ investment portfolio. The outflow of funds, with capital taking shelter exclusively in US Treasury bonds, had a strong impact on emerging economies as a whole. Latin America was no exception.
In perspective, the portfolio investment capital flow in Brazil, for instance, decreased by 75 percent against the previous year. In September and October alone, Brazil showed an investment capital outflow of almost USD 10 billion.