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May Retail Sales, Bradesco Event on Tax Reform

BRAZIL
  • Some moderate weakness in MXN and the EMFX basket could slightly weigh on BRL at the open today, although the May retail sales report could have an impact. Retail sales volume probably declined by 0.3% in May on a monthly basis. National statistics agency IBGE discloses report at 1300BST/0800ET:
    • May Retail Sales M/m, est. -0.3%, prior 0.1%
    • May Retail Sales Y/y, est. 1.3%, prior 0.5%
    • May Retail Sales Broad M/m, est. -0.8%, prior -1.6%
    • May Retail Sales Broad Y/y, est. 3.8%, prior 3.1%
  • In an interview with Record TV on Thursday, President Lula said the role of the BCB Governor is also to make the economy grow. The President added that Finance minister Fernando Haddad was appointed to improve the lives of poor people, not to meet the interests of the financial market.
  • Bradesco will host a live stream with Brazil’s tax reform special secretary Bernard Appy to talk with CEO Bruno Funchal about the new legislation and its impacts on the different sectors of the economy.

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