Around the World's Markets: Sao Paulo

BRAZILIAN STOCKS climbed 2.5 per cent to reach their highest level since before the currency crisis last year.

Sao Paulo's Bovespa index broke through the 10,000 barrier for the first time since August. After an 8.8 per cent rise on Monday, the index has risen over 11 per cent in two days.

The surge in share prices is powered by increasing optimism that Brazil's economy has begun its recovery from the currency crisis which began seven months ago.