Soros sells stake in Petrobras, prompting broader sell-off

    oil cans

    George Soros has backed out of Petrobras, and others are following his cue.

    Soros’s firm reportedly sold its stake in Petroleo Brasileiro, Bloomberg reports. According to documents filed with the SEC, Soros actually pulled out during the first quarter, amid the company’s corruption scandal. Writes Bloomberg:

    “Soros is an eagle of investments,” Paulo Henrique Amantea, an analyst at brokerage H.H. Picchioni, said by telephone from Belo Horizonte, Brazil. “When he buys a stock, he gives it some support. When he sells everything, indicating that he does not see good prospects for the company, it’s a very negative signal.”

    Petrobras has had a rough year, between sinking oil prices and the revelation of years of alleged kickbacks and inflated contracts. The company’s stock was down 1.7% this week.

    Photo: Ian Burt via Flickr.