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Mar 4, 2015

Emerging market currencies to remain under pressure: Reuters poll

BRASILIA (Reuters) – Emerging market currencies are set to sink further into decade or even record lows against the dollar as interest rates start rising off zero in the United States, a Reuters poll predicted on Wednesday.

A wide majority of FX strategists from all over the world said they are “confident” or “very confident” the dollar will extend its eight-month-long rally, already the most intense since the onset of the global financial crisis in 2008, despite trading sideways .DXY in February.

Mar 3, 2015

Brazil’s annual inflation likely hit 10-year high in February

BRASILIA (Reuters) – Brazil’s annual inflation rate probably rose to the highest in nearly 10 years in February despite slumping economic growth, driven by an increase in fuel taxes, a Reuters poll of economists on Tuesday shows.

Inflation as measured by the benchmark IPCA index BRCPIY=ECI probably rose to 7.54 percent in the 12 months through February, the highest since May 2005 and far above the government’s 4.5 percent target, according to the median forecast of 24 economists polled by Reuters.

Mar 3, 2015
via MacroScope

Brazil’s shock therapy against inflation

Photo

Brazil’s central bank’s two-day policy meeting kicks off later on Tuesday with all bets placed on a fourth straight interest rate increase, despite growing consensus that the country is headed for its worst economic recession in 25 years.

The benchmark interest rate, currently at an already-high 12.25 percent, is expected by the wide majority of 48 economists polled by Reuters to reach the highest in six years at 12.75 percent. Other increases are in the pipeline, and some say the Selic rate could climb to as much as 13.75 percent this year.

Feb 27, 2015

Brazil seen extending rate hikes even as economy stalls: Reuters poll

BRASILIA (Reuters) – Brazil’s central bank will raise its benchmark interest rate by 50 basis points for a third straight time next week as inflation races far above the government’s target, according to the vast majority of economists polled by Reuters.

Forty-three of 48 economists in the survey expect the central bank to raise its benchmark Selic rate on March 4 to 12.75 percent from 12.25 percent. The remaining five forecast a 25-point hike on worries that a bigger hike could further hurt Brazil’s economy.

Feb 23, 2015

Analysis: As states tighten belts, Brazil edges closer to recession

BRASILIA (Reuters) – Brazilian states and cities are scrambling to raise taxes and cut spending after years of excesses, nudging an already weak national economy closer to recession.

Growing budget deficits, the biggest in more than a decade, have prompted some states to temporarily suspend payments to suppliers and freeze billions of reais in services and infrastructure projects, from road maintenance to healthcare facilities.

Feb 23, 2015

As states tighten belts, Brazil edges closer to recession

BRASILIA, Feb 23 (Reuters) – Brazilian states and cities are scrambling to raise taxes and cut spending after years of excesses, nudging an already weak national economy closer to recession.

Growing budget deficits, the biggest in more than a decade, have prompted some states to temporarily suspend payments to suppliers and freeze billions of reais in services and infrastructure projects, from road maintenance to healthcare facilities.

Feb 12, 2015

Brazil’s Petrobras to cut capex, sell assets; eyeing spinoffs – Valor

BRASILIA, Feb 12 (Reuters) – The new chief executive of
Brazil’s state-run oil firm Petrobras plans to cut
investments and sell assets, and could offer shares in some of
the company’s units to raise cash and cut debt, according to an
interview in Valor Economico newspaper.

Aldemir Bendine also reiterated that potential asset
writedowns caused by the graft scandal engulfing the company
would be “much lower” than estimates of 88.6 billion reais
($30.9 billion) made in notes that accompanied the company’s
unaudited third-quarter results.

Feb 11, 2015
Feb 6, 2015
Feb 6, 2015
    • About Silvio

      "Silvio Cascione is a Reuters economics correspondent in Brasilia, covering through market polls and economic data the sharp slowdown of Brazil's economy over the past few years. He also leads polling across Latin America on several issues such as regional growth prospects, inflation, and foreign exchange rates."
      Joined Reuters:
      2007
      Languages:
      Portuguese, English, Spanish
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