The crash in yesterday’s global markets took the spread of the 5-year Credit Default Swap (CDS) contract to Brazil, a measure closely accompanied by country risk, which was again traded at 100 points, according to data compiled by Markit.This morning, the CDS spread operated at 100 points, from 93 at the end of Friday, even at the lowest levels in more than ten years. The 7.3% increase is in line with that of other emerging markets, such as Mexico (7.1%), Colombia (7.8%) and Russia (7.0%).
The volume of dividends that large banks in Brazil paid out to their shareholders in 2019, with the exception of Itaú Unibanco, was R$52 billion ($12 billion), almost 26% more than in 2018. Itaú Unibanco distributed 66.2% of recurring net revenues for 2019, compared to 89.2% the previous year. The decrease in the proportion of dividends was reflected directly in the pocket of the shareholders of Itaúsa, the holding company that controls the bank.
The soybean crop now reaches 30.4% of the area of 37 million hectares, according to a survey conducted by the consultant Safras & Mercado. Only Santa Catarina and Rio Grande do Sul have not yet begun, says the survey. The most advanced state is still Mato Grosso (74%). If compared with the average rate of 28% of the period, the current national crop is advanced, but behind 40% in the same period last year. The progress in relation to the week ending February 14 was medium, when it was 22%.
Raízen, one of the biggest ethanol producer in Brazil, is looking at partnerships with Indian firms for second-generation ethanol, produced from bagasse and sugarcane leaves, President and CEO Luis Henrique Gulmaraes said. In the interim Brazil could also export ethanol to India to quicken its 10% ethanol-blend programme. Raízen, a 50-50 joint-venture between Cosan and Royal Dutch Shell , is the third largest Brazilian energy company by revenue and the fifth largest in the country.
ExpressJet Airlines, which operates in the United States as United Express on behalf of United Airlines Holdings, will add 36 Embraer ERJ145 aircraft to its fleet in the next 12 months. The company said it will eliminate a small number of E175 aircraft to have a fleet composed only of the ERJ145 as it plans to become the largest operator of the Brazilian 50-seat model in the world.