Day: March 13, 2020

President Bolsonaro announces $ 1 bn to fight coronavirus in Brazil

President Jair Bolsonaro announced this afternoon (12) that he will allocate R$ 5 billion ($ 1 billion to fight the coronavirus in Brazil. He said he will sign a Provisional Measure tomorrow, Friday (13) authorizing the action. Bolsonaro cited the Brazilian stock market crash, which plunged 14.78% in the afternoon after two temporary stops, known as “circuit breakers”, and said that the country has a locked budget.

Brazil’s country risk jump 58% to the level before Dilma’s impeachment

The country risk measured by Brazil’s 5-year CDS has jumped 58%, to 356 points according to data compiled by Markit. A sign that the movement has to do with domestic factors, the 58% increase in Brazil’s country risk is superior than seen by other comparable emerging countries in the same period. The spread of contracts in Mexico increased by 39.1% in the period, while those in Colombia, 26.7%. Russia (19.8%), South Africa (12%) and Turkey (14.05%) also had minor variations in the period.

After exceeding R$ 5.00, the dollar falls with Central Bank auctions

The Brazilian Central Bank held on Thursday (12) several dollar auctions that helped to contain the buyer impetus in the US currency. The commercial dollar opened at R$ 5.00, reaching a maximum of R$ 5.0280, amid the defeat of the government in Congress with the overthrow of President Jair Bolsonaro’s veto. But it helped the gains over the trading session. Even so, the commercial dollar rose 1.377% to R$ 4.784 in the purchase and to R$ 4.7857 in the sale, still renewing the historical high closing.

Azul has a net loss of $ 460 million and suspends the estimates for 2020 due to coronavirus

The airline Azul reported a loss of R $ 2.3 billion ($ 460 million) in the fourth quarter of 2019, affected by expenses considered non-recurring, and suspended the projections for 2020, in addition to adopting other measures, due to the uncertainty related to the impact of the propagation of the coronavirus. Azul also said in a statement that it is monitoring the potential impact of Covid-19 on its 2020 results and has decided to suspend projections for the year.

Coronavirus does not affect ports of Parana and cargo handling grow 1%

Ports of the State of Paraná (south of Brazil) had an increase in cargo handling in the first two months and, according to the port administration, the coronavirus did not affect the operation. In January and February, about 7.3 million tons of products entered and left the country through the state’s terminals, an increase of 1% compared to that recorded in the first two months of 2019, when the movement totalled 7.2 million tons.