FREELAND: CANADA WON'T ESCALATE OR BACK DOWN ON US TRADE FIGHT

MNI: PBOC To Aim To Drive Inflation Higher- Advisors

MNI: China To Issue More Bonds As Stimulus Targets Consumption

MNI: PBOC To Aim To Drive Inflation Higher- Advisors

MNI: China To Issue More Bonds As Stimulus Targets Consumption

MNI BRIEF: China Nov M1 Decline Narrows, M2 Slows

EZ/UK T-Bill Calendar: 8/13/28/50-Week BTF Auction on Monday

EZ/UK Bond Supply Calendar: 4.125% Jul-29 Gilt Due on Tuesday

MNI: CANADA OCT WHOLESALE SALES +3.3%; EX-AUTOS +0.5%

MNI EXCLUSIVE: EU-Mercosur Deal Close, But Likely Short-Lived - Officials

AUSTRALIA: 2025 Election Outcome Looking More Uncertain According To Newspoll

© 1982-2024 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

BRAZIL: Finance Minister Haddad Reiterates Importance Of Fiscal Framework

BRAZIL
EM BulletBulletGlobalEmerging Market NewsRegion
  • Speaking in a local radio interview earlier today, Finance Minister Haddad said that government spending has to be within the fiscal framework if it is to eliminate the budget deficit. He also said that the government needs to reduce fiscal momentum with a balanced budget and that he sees gross debt in an 80-83% range in the coming years.
    • Haddad’s comments came following the latest BCB Focus survey, which showed analysts raising their end-2024 and end-2025 Selic rate forecasts by another 25bp to 11.75% and 10.75%, respectively. Fiscal data also showed a steady primary deficit in August as the nominal deficit narrowed marginally.
    • Despite this, USDBRL is trading only marginally lower today around 5.43, with attention still on next key support at 5.3768, the Aug 19 low. Clearance of this support would strengthen a bearish threat and open 5.2405, the Jun 6 low.
    • For USDBRL bulls, a stronger recovery would refocus attention on resistance at 5.6917, the Aug 30 high and a bull trigger.
161 words

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.
  • Speaking in a local radio interview earlier today, Finance Minister Haddad said that government spending has to be within the fiscal framework if it is to eliminate the budget deficit. He also said that the government needs to reduce fiscal momentum with a balanced budget and that he sees gross debt in an 80-83% range in the coming years.
    • Haddad’s comments came following the latest BCB Focus survey, which showed analysts raising their end-2024 and end-2025 Selic rate forecasts by another 25bp to 11.75% and 10.75%, respectively. Fiscal data also showed a steady primary deficit in August as the nominal deficit narrowed marginally.
    • Despite this, USDBRL is trading only marginally lower today around 5.43, with attention still on next key support at 5.3768, the Aug 19 low. Clearance of this support would strengthen a bearish threat and open 5.2405, the Jun 6 low.
    • For USDBRL bulls, a stronger recovery would refocus attention on resistance at 5.6917, the Aug 30 high and a bull trigger.