Hints and tips:
...The offering of a subsidy to the truckers was the opposite of the type of changes that were needed, said Neil Shearing, an economist at Capital Economics....
...The real climbed as much as 1.7 per cent against the dollar to R$3.1830, a three-month high, ahead of the ruling. Brazilian bonds also bucked the wider global sell-off in government bonds....
...“The original proposal would have saved close to R$800bn ($250bn) in net present value over the next 10 years....
...The country’s benchmark Bovespa stock index shot up 1.2 per cent on the news, while the Brazilian real extended its earlier gains to trade 1.4 per cent higher at R$3.2079 per dollar — a two-month high....
...“Given that a Lula victory would quash any hopes of much-needed economic and fiscal reforms, this would have been market-negative,” Mr Shearing said....
...the Brazil chief executive of Israeli shopping centre group Gazit Globe bought control or stakes in seven properties in prime locations in the biggest city in Latin America’s largest country, investing R$2bn...
...The Brazilian real, having initially strengthened to as much as R$3.5955 following the release of the GDP numbers, has given back all of its gains and is trading 0.8 per cent lower at R$3.6358....
...Neil Shearing, chief emerging markets economist, said he expects the currency to fall back towards the R$4 mark over the next three to six months amid the heightening political and economic uncertainty in...
...However, Mr Shearing warned that investors are probably getting ahead of themselves....
...The real, which reversed a 2.3 per cent drop on Wednesday to close up 0.7 per cent, climbed another 2.4 per cent to hit a week-high of R$3.65 against the dollar....
...In the event of an impeachment, the real could strengthen further to about R$3.30 or R$3.40 against the dollar, said Neil Shearing, chief emerging markets economist at Capital Economics....
...“It's doubtful that it will trigger the turnround in activity that the government hopes,” said Neil Shearing, economist at Capital Economics....
...The real weakened 2.7 per cent to R$3.9831 while the Ibovespa benchmark index ended down 2.98 per cent at 43,910 points....
...Mr Shearing questioned, however, whether at R$4 to the dollar, the real should have much further to weaken, barring any sharper than expected slowdown in China....
...“Past form suggests there is good reason to expect actual budget savings to fall well short of government projections,” said Neil Shearing, of Capital Economics....
...“A weaker real will in time help to revive the export sector and close the current account deficit,” says Neil Shearing of Capital Economics....
...The Ibovespa benchmark stock index rose 3.75 per cent while Brazil’s currency, the real, strengthened 1.42 per cent against the dollar to R$3.78 after Eduardo Cunha, the speaker of the lower house of congress...
...“This is a shocking report,” said Neil Shearing, emerging markets economist at Capital Economics. “The driver was a complete collapse in domestic demand.”...
...Capital Economics’ central forecast is for a modest further weakening to R$3.20 to the dollar by the end of this year....
...The ministry said on Thursday that authorities had uncovered evidence of fraud at its tax appeals board that may have cost taxpayers up to R$19bn ($6bn)....
...The Brazilian real, it is worth noting, strengthened to about R$2.57 after the central bank raised its policy rate to 12.25 per cent on Wednesday evening and has recovered from as much as R$2.76 last month...
...“Instead of new developments in the inflation outlook, we suspect the real reasons behind last night’s surprise hike were political,” wrote Neil Shearing of Capital Economics in a note....
...Mr Shearing admits “there are plenty of reasons why prices have gone up”....
...While an initial report by consultancy Ernst & Young claimed there would be R$112bn ($50.6bn) in additional economic activity between 2010 and 2014 as a result of the World Cup, other studies have dismissed...
...In Manaus, critics have described the stadium’s cost of about R$600m ($255m) as extravagant for a city that boasts no top league soccer team and has widespread inequality....
International Edition