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Summary – July 29

LATAM
  • On Monday, Brazil will release budget balance data for June, with analysts expecting a narrowing of both the primary and nominal deficits. June net debt figures will also cross, while the BCB will publish its weekly Focus survey. In the US, the calendar is light, with just Dallas Fed manufacturing activity due. Focus this week will be on the FOMC interest rate decision on Wednesday.
  • Global news:
    • ISRAEL - Israel struck Hezbollah targets deep inside Lebanon on Sunday, officials said, the day after a rocket strike from Lebanon killed 12 people, most of them teenagers and children, in the Israeli-occupied Golan Heights, raising the spectre of all-out war. Sunday's strikes, on what the Israeli military said were Hezbollah weapons caches and infrastructure, fell short of the furious response Israeli officials threatened after the strike Saturday on a soccer field in the Golan.
    • US - Companies are laying off employees and cutting production to counter falling orders and rising inventories, according to the Wall Street Journal. More US manufacturers are rethinking their plans as they brace for an extended slump in demand. Higher interest rates, rising operating costs, a strengthening US dollar and lower selling prices for commodities are dampening activity at factories across the country.
    • VENEZUEALA - Venezuelan President Nicolás Maduro's electoral council declared the authoritarian socialist the winner of Venezuela's election Sunday despite partial results and independent exit polling that suggested opposition candidate Edmundo González had captured twice as many votes.

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