Day: April 7, 2020

S&P Global predicts negative Brazilian GDP at 0.7%

S&P Global Ratings predicts that Brazil’s Gross Domestic Product (GDP) should contract by 0.7% in 2020, with a downside risk, due to the economic impacts of the new coronavirus pandemic. “Brazil’s economic growth in 2020 will be seriously affected by the impact of covid-19 locally and globally,” says the risk rating agency in a note.

National automobile production fell by 21.8% in March

The National Association of Motor Vehicle Manufacturers (Anfavea) reported that the national production of automobiles in March fell by 21.1%, compared to March 2019. Already the level of licenses dropped 21.8% in the period. According to the organization, the results were a consequence of the covid-19 pandemic, which caused a fall of almost 90% of the activities in the segment.

Corn’s VBP should grow 14.52% to $ 2.7 bn

The Gross Production Value (VBP) of maize from Mato Grosso is expected to reach R$ 13.48 billion ($ 2.7 billion) in 2020. The value, if confirmed, will represent an increase of 14.52% in relation to the previous year. “This increase in the estimate is mainly due to the better price levels and expectations of an increase in the area cultivated with cereal,” Imea said in a bulletin.

Embraer proposes 25% salary reduction

Embraer presented proposals to reduce work hours and wages, in addition to the adoption of layoffs for part of the workers. The measures are to face the crisis of the new coronavirus. According to the Metalworkers Union, the proposal presented by Embraer, employees working at home will have their working hours and salary reduced by 25%. The reduction will be for three months, with proportional stability.

Ibovespa rises 6.5% and dollar falls to R$ 5.29

The Ibovespa closed higher on Monday (6) following the performance of the United States stock exchanges. The Ibovespa recorded gains of 6.52%, at 74,072 points, with a financial volume of R$ 21.6 billion ($4.2 billion) after rising more than 8% before the news of the minister’s resignation.