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• Emerging Money Brazil
• Emerging Money Energy

State-owned oil and gas heavyweight Petrobras ( PBR , quote ) is a major index weight stock, and a major drag on investing in Brazil.

Earnings came in lower than expected as the company is spending too much money importing -- that's right, IMPORTING -- diesel and gasoline bought abroad at a 12% loss. Debt and balance sheet issues continue to plague the company.

The credit rating is starting to look vulnerable, especially as last week's very disappointing domestic gas price increase was too small to help the company's free cash flow (FCF) squeeze.

Where are the positive catalysts in the coming quarters? How many investors have said now is the time to bottom fish on PBR in the last 18 months?

Too many.

PBR may soon displace Russia/s Gazprom ( GZPFY , quote ) as the most hated stock in Global Emerging Markets (GEM) equity.

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