My take on Petrobras is this - the stock is fundamentally undervalued. Presently oil prices are falling, the Brazilian government is sending mixed signals about ownership of oil and the large investors are selling and selling fast - partially because of the end of year effect.
Bottom line for me is that Petrobras is a great buy, and $40 is an insane price from a valuation perspective. However, it is now all a matter of timing, and we all know what happens when you try to time the market. Nevertheless, I'll buy, but not now - November/December sounds like ideal for me.
Petrobras Explained
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