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BCB Focus Survey And Current Account Data

BRAZIL
  • Brazil central bank will publish its weekly Focus survey of economists, which will be followed by August current account and FDI figures. In Colombia, industrial and retail confidence data may be published.
  • This week, Banxico will keep the overnight rate at 11.25% as core inflation remains stubbornly above target. In Colombia, despite the finance minister continuing to advocate for a rate cut, headline and core inflation above 11.00% should prompt another unchanged decision, keeping the overnight lending rate at 13.25%.
  • The Eurosystem had a “growing confidence” that it will achieve its primary 2% medium-term inflation target by 2025 and it would be much better if the ECB could achieve its 2% inflation target with a soft landing rather than a hard one, Bank of France Governor Francois Villeroy said Monday. In the speech, Villeroy said that the risks of doing too much versus that of doing too little are now “symmetric”. Comments from ECB’s Lagarde and Schnabel headline the eurozone docket today.
  • China Evergrande Group is running out of time to get what would be one of the nation’s biggest-ever restructurings back on track, after setbacks in recent days that raise the risk of liquidation. The string of surprise developments include scrapping key creditor meetings at the last minute, saying it must revisit its restructuring plan, detention of money management unit staff and an inability to meet regulator qualifications to issue new bonds. (BBG)

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