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Meetings On Offshore Tax Bill, Economic Activity This Week

BRAZIL
  • Below estimate IPCA inflation data last week has immediately filtered through to the latest set of projections from Brazilian economists in the Focus survey, lowering their year-end forecasts. However, medium-to-longer term expectations have remained at stubborn levels.
  • The economic data calendar is highlighted by August retail sales (Wednesday) and August economic activity (Thursday). USDBRL remains susceptible to broader global themes, however, has stabilised just above the 5.00 mark for now, the level at which economists predict it will end the year.
  • Meetings today are expected to define whether the bill on taxing offshore companies will be voted on Tuesday, according to the rapporteur of the matter, deputy Pedro Paulo, in an interview on Friday. According to the Bloomberg report, Paulo said the environment for voting worsened because of heated discussions between lawmakers in recent days regarding the Israel-Hamas war.

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