Around the World's Markets: Sao Paulo

SHARE PRICES were sharply lower in late morning trade as investors took profits on falls in the US market and were disappointed at US reluctance to cut interest rates. The Bovespa index fell 507 points, or 7.52 per cent, to 6,251. Trade had earlier been suspended for 30 minutes after the index fell 10 per cent.

Stocks were hit by the outflow of dollars on Tuesday, which reached $580m by 7:15pm, dealers said. But reports in London that the Brazilian government may devalue the real were discounted.