O Ibovespa (IBOV) did not recover and closed sharply this Monday (5), in a movement of adjustments and with investors waiting for news from the Transition PECcurrently pending in the Senate.
On a day of lower liquidity due to the Brazil Against the South Korea at 2022 World Cup, the reference index of the Brazilian Stock Exchange retreated 2.25%, to 109,401.41 points. The shares of Petrobras 🇧🇷PETR4) even rose, but turned downwards along with oil price negotiations.
THE OK 🇧🇷VOUCH3) also turned and closed at a slight drop of 0.1%, receiving some support from the recovery of iron ore, which reflected the easing of restrictions against Covid-19 in China over the weekend.
The president of the Senate, Rodrigo Pacheco, placed the PEC of the Transition on the agenda of the next Wednesday of the plenary of the House, although the proposal is still in the Constitution and Justice Commission (CCJ).
This Monday afternoon, the president of the Senate CCJ, Davi Alcolumbre, confirmed Senator Alexandre Silveira (PSD-MG) as rapporteur for the Transition PEC and called an extraordinary meeting of the collegiate for tomorrow in order to try to vote on the proposal.
The original proposal removes up to BRL 198 billion from the spending ceiling in 2023, valid for four years. Due to lack of support, the elected government decided to step back and will start working to approve the PEC with an exception period in the spending ceiling for two years, but maintaining the value of almost R$ 200 billion.
The announcement of the change was made by Senator Marcelo Castro (MDB-PI), author of the PEC and general rapporteur for next year’s Budget, after a meeting with Pacheco and the mayor, Arthur Lira, as well as Alcolumbre and parliamentarians.
At the same time, investors continue to monitor possible names that will compose the ministries of the new Lula government🇧🇷 The members of the economic team, the focus of attention from market agents, were not announced.
the president elect Luiz Inacio Lula da Silva said on Friday that it should announce the names of its ministries after the presidential diplomation, on December 12. The petista said that the name chosen to lead the Ministry of Finance will have the face of his first term.
Former minister’s name Fernando Haddad strengthened to lead the Treasury portfolio.
Felipe Izac, a partner at Nexgen Capital, explained to Reuters that, because Haddad is a name “much more political than technical”, there is a greater degree of fiscal uncertainty.
Fears about the size of the PEC and its duration led the dollar to shoot more than 1% this Monday.
Abroad, data from the service sector of United States came in stronger than expected, pressuring the performance of US indices today.
With information from Reuters.
Source: Moneytimes
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