By Ana Beatriz Bartolo
Investing.com – After closing on Tuesday with a drop of 0.19%, at 116,181 points, the traded with a 0.21% indentation, at 9:29 am. The rose 0.15%, to R$ 5.2473.
In the US, the 100 Futures traded up 0.13%, while the futures fell 0.02% and Futures retreated 0.18%. The , the main Brazilian ETF traded abroad, advanced 0.69% in the American pre-market.
Brazil registered on Tuesday 731 new deaths from Covid-19, which brings the total number of fatal victims of the disease in the country to 587,797, informed the Ministry of Health. in the country advancing to 21,019,830, added the folder.
The Central Bank’s Economic Activity Index (), considered prior to the Gross Domestic Product (), increased 0.6% in July compared to June, informed the Central Bank. This represents a slowdown compared to the previous month, but still, the result came above market expectations of 0.4%, according to Broadcast.
But the economic market is less and less optimistic about the GDP of 2022. The weak result of the second quarter (-0.1% compared to the first quarter) together with the water crisis, the increase of the and the political crisis caused experts to review their estimates.
On Tuesday, Itaú Unibanco (SA:) reduced its expectation of activity growth in 2021, from 5.7% to 5.3%, and that of 2022 went from 1.5% to 0.5%. Bank BV (formerly Banco Votorantim), in turn, changed its forecast for next year from 1.8% to 1.5%.
JP Morgan’s estimate for 2022 went from 1.5% to 0.9% and, at the beginning of the month, Banco Fator had already estimated a 0.5% advance for next year. XP reduced its GDP growth forecast for 2022, from 1.7% to 1.3%.
Other economic markers have also been updated. Now Itaú expects to finish 2022 at 9%, when the previous forecast was 7.5%, and the projection of the Broad National Consumer Price Index (IPCA) for next year went from 3.90% to 4.20 %.
News of the day
Bolsonaro – After the escalation of tension with the Supreme Court (STF) in previous weeks, President Jair Bolsonaro nodded on Tuesday and said that there is no way not to believe in the future of the country without an understanding with the Judiciary and Legislative Powers.
Squid – Former President Lula told supporters that if he wins the 2022 elections, he will put a politician in charge of the economy, since someone with political traffic in Congress would be needed to articulate the reforms, according to Valor Econômico. In recent polls, Lula would emerge victorious in the elections against President Bolsonaro.
Emergency Assistance – The non-approval of the Income Tax reform, which will serve as a source of funds for the expansion of the Bolsa Família, could lead the government to have to reissue the emergency aid, indicated the Minister of Economy, Paulo Guedes, at a BTG Pactual event ( SA :).
Paulo Guedes – Economy Minister Paulo Guedes admitted that “it is evident” that the water crisis is putting pressure on prices. At a BTG Pactual event, Guedes highlighted that the approval of the Central Bank’s autonomy will help keep the price hike under control. At the event, Guedes also stated that the spending ceiling is a symbol of austerity.
Selic rate – Future interest rates and bets on a Selic increase of more than 1 percentage point next week were voided, after the BC president’s statements. Campos Neto commented that the monetary authority will not change interest rates, looking only at short-term factors, which may indicate a less accelerated increase in the Selic rate.
agenda of the day
Jair Bolsonaro – Meeting with Gilson Machado Neto, Minister of Tourism; Announcement of advances in the Casa Verde e Amarela Program; Meeting with Pedro Cesar Sousa, Deputy Chief for Legal Affairs of the General Secretariat of the Presidency of the Republic.
Paulo Guedes – Opening of the virtual event ”People Ahead Movement Meeting;’ Ceremony for the Announcement of Advances in the Casa Verde e Amarela Program; Audience with Jackson Schneider; Meeting with the Special Secretary for Productivity, Employment and Competitiveness, Carlos Da Costa; Meeting with the Minister of Tourism, Gilson Machado.
Campos Neto – in the morning with the Minister of Citizenship, João Roma, and Senator Fernando Bezerra Coelho (MDB/PE); Announcement of BC# Sustainability Agenda measures; Meeting with Senator Telmário Mota (PROS/RR), and Coaraci Castilho, Chief of Staff of PROS Leadership.
Grupo Soma (SA:) and Cia Hering (SA:) – Grupo Soma informed CVM that the business combination with Cia Hering, announced in April, was approved at the meetings of the two companies this Tuesday, 14.
Via (SA:) – The CVM board acquitted Ernst & Young and its partners Douglas Travaglia Lopes Ferreira and Drayton Teixeira de Melo of the accusation of irregularities in the audit work of Via Varejo’s financial statements for the year 2013. The episode is related to the accounting entry of the sale 6.2% of Via Varejo’s shareholding in Nova Pontocom Comércio Eletrônico (NPC), for R$ 80 million.
Blue (SA:) – Azul intends to serve up to 19 destinations in the State of Pará, as part of the strategy of strengthening regional aviation and connecting the interior of the country to major centers.
Eneva (SA:) – Itaú BBA improved its projections for the electric Eneva to “outperform”, raising the target share price to R$ 18.6, from R$ 15, when affirming that the company is the “best vehicle” to navigate in a challenging water crisis.
Klabin (SA:) – Klabin is inaugurating a new terminal with capacity for 5,000 40-foot containers per month. The project is the result of an investment of R$300 million.
Plan & Plan – The construction company Plano & Plano (SA:), former joint venture of Cyrela (SA:), intends to return to the middle-income segment, making this type of construction represent 20% to 30% of its portfolio by the end of 2022, according to the Broadcast Column. The construction company was working only with Casa Verde and Amarela projects, but the reduction in margins and cost increases led the company to adopt another strategy.
Petrobras (SA:) – The president of the Central Bank, Roberto Campos Neto, joined the discussion on fuel at a BTG Pactual event, saying that Petrobras passes prices on “much faster than most other countries”, relating the issue to pressure inflationary effects caused by energy. The speech contrasts with the statement by the president of the state-owned company, General Joaquim Silva e Luna, who told the Chamber of Deputies that the company does not immediately transfer movements in the international market to domestic prices.