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Lula Tests Positive For Covid, Inflation Data In Focus

BRAZIL
  • Brazil’s former President, and front-runner for this year’s election, Luiz Inacio Lula da Silva (Age 76) tested positive for Covid-19 this Sunday, according to his Twitter. Lula‘s wife also tested positive, according to the tweet
    • Both have mild symptoms and will be in isolation for the next few days, with medical follow-up, according to the tweet.
  • On Thursday, markets will see the latest release of IPCA inflation data which is estimated to dip to 11.88% in May, down from a prior reading of 12.13%.
    • This will be the final inflation print before the June 15 Copom meeting.
    • Additionally, retail sales data for April will be published on Friday.
  • Government is studying a constitutional amendment that would allow the federal govt to pay 20b reais to states to offset a cut in diesel, cooking gas ICMS tax in order to reduce prices, Folha de S. Paulo newspaper reported citing people with direct knowledge of the matter. (BBG)
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