Ibovespa closes at a maximum of 2% and pending at 115 thousand points with exterior and Emergency PEC; dollar falls to R $ 5.54

SÃO PAULO – Ibovespa closed higher on Thursday (11) after the plenary session of the Chamber of Deputies approved in a second round the basic text of the Proposal for an Emergency Amendment to the Constitution (PEC). There were 366 votes in favor, 127 against and 3 abstentions. The government obtained 25 more votes for history in relation to the support obtained in the first round.

The proposal is indicated by the federal government as fundamental to enable the granting of a new round of emergency aid, given the worsening of the new coronavirus crisis in the country.

The one who also encouraged investors here was the positive day on Wall Street. The Dow Jones, S&P 500 and Nasdaq indices rose, renewing highs after President Joe Biden sanctioned the $ 1.9 trillion stimulus package against the economic impacts of the coronavirus that was approved yesterday by the House of Representatives.

The law will extend an aid of $ 300 to unemployed people and other programs directed to that population. Therefore, millions of Americans will be eligible for such assistance before September 6.

The Nasdaq index of tech stocks stood out among the highs, with gains of more than 2%, as US bond yields fell to a one-week low as concerns about a sharp acceleration in inflation eased.

It should be remembered that technology companies suffer more from the increase in interest in treasuriesas they have a longer cash flow and are less sensitive to the economic cycle.

The United States still had better-than-expected data on the labor market. Unemployment insurance claims totaled 712,000 last week, down from the 725,000 expected.

In addition, investors were alert to the worsening of the Covid-19 scenario in the country, which broke records again on Wednesday. On Thursday, São Paulo Governor João Doria announced that the state will enter a more restrictive phase of its quarantine plan, further limiting the operation of commerce and paralyzing sporting events in the region.

Among the Brazilian indicators, the National Comprehensive Consumer Price Index (IPCA) grew by 0.86% in February compared to January, according to data from the Brazilian Institute of Geography and Statistics (IBGE) published on Tuesday (9). The estimate, according to the Refinitiv consensus, rose 0.72% compared to January, after previous data with a rise of 0.25%.

The Ibovespa rose 1.96% to 114,983 points with a financial volume of R $ 41.02 billion.

Meanwhile, the commercial dollar closed with a fall of 1.94% to R $ 5.5423 in the purchase and R $ 5.5428 in the sale. The dollar of futures maturing in April registered losses of 2.34% to R $ 5,545 in the Secondary market.

The dollar had already accentuated the fall in the early afternoon after the Central Bank sold the 16,000 foreign exchange swap contracts offered in refinancing due in April. Of the total, 3 thousand papers were destined for the June maturity and another 13 thousand for December.

In the futures market, the ID of January 2022 rose eight basis points to 4.13%, the ID of January 2023 rose seven basis points to 5.90%, the ID of January 2025 fell two basis points to 7.37% and the ID of January 2027 registered a negative variation of eight basis points to 7.90%.

In Europe, the European Central Bank (ECB) decided to leave its monetary policy unchanged, as expected, but promised to accelerate its bond purchases and be flexible to avoid a tightening of “financial conditions”.

The main ECB interest rates, refinancing and deposits, remained at 0% and -0.50%, respectively. In addition, the ECB kept the volume of its Pandemic Emergency Procurement Program (PEPP) at € 1.85 trillion.

Mainland China’s equity markets advanced even though their performance was hampered by Prime Minister Li Keqiang’s announcement that the country will focus on around 6% growth in Gross Domestic Product (GDP) for the year. , the lowest of many estimates by economists, and relatively modest by Chinese standards.

The prime minister said the government does not intend to issue more bonds in response to the pandemic and that deficit and inflation targets are expected to be lower than last year.

On the other hand, better-than-expected bank loan data in February boosted market sentiment and eased some tight monetary policy concerns.

The figures showed that new bank loans in China fell less than expected in February compared to January, as the central bank sought to ease credit growth to contain debt risks, while maintaining support for small businesses.

Brazil has 2,000 deaths from Covid in one day

For the twelfth consecutive day, the country broke its record in the moving average of deaths from Covid in 7 days on Wednesday (10), with the mark of 1,645, an increase of 43% compared to the average of 14 days before. The threshold of 1,500 deaths in an average of 7 days was first exceeded two days ago.

For the first time, the country comfortably surpassed the 2,000-death mark from Covid in a single day, with 2,349 cases.

This level was reached despite the fact that the Federal District did not disclose its number of deaths. On the other hand, data was recorded from more than Goiás, which had not revealed the death toll on Tuesday.

The information is from the consortium of press vehicles that systematizes data on Covid collected by the Brazilian state health departments, which announced, at 8 pm on Wednesday, the advance of the pandemic in 24 hours in the country.

The seven-day moving average of new cases was 69,107, a 32% increase from the level 14 days earlier. In just one day there were 80,955 diagnoses.

For the second, 9,013,639 people had received the first dose of the covid vaccine in Brazil, equivalent to 4.26% of the population. The second dose was applied to 3,166,189 people, or 1.5% of the population. Analysts have pointed to the speed of immunization as one of the factors influencing the resumption of the economy.

Second newspaper poll Folha de S. Paulo In all the capitals of the country, only Maceió and Macapá have an ICU occupancy rate below 80%. 16 capitals have an occupation of more than 90%. In Rio Branco and Aracaju, the occupancy is 99%. Porto Velho is 100% occupied and Porto Alegre 102%.

In a ceremony on Wednesday, President Jair Bolsonaro (no party) enacted two laws and an interim measure dedicated to boosting the purchase of vaccines by Brazil.

PL 534 of 2021 facilitates the purchase of vaccines by the Federal Government, state governments and by the private initiative MP 1,026 of 2021 allows the purchase of vaccines before an endorsement by Anvisa (Sanitary Surveillance Agency). PL 2.809 of 2020 extends until December 31, 2020 the suspension of goal maintenance by health service providers in the SUS.

Contrary to usual, both Bolsonaro and other authorities wore masks. According to a survey by the G1 portal, the last time the president had put on a mask in an official act was on February 3, during the solemn inaugural session of the legislative year in Congress.

For the fifth time, the Minister of Health, General Eduardo Pazuello, reduced the forecast of vaccines available in Brazil for the month of March, to between 22 million and 25 million doses. In the second, General Pazuello had estimated the number of doses between 25 million and 28 million. In February there had been talk of 46 million doses.

In São Paulo, the government announced the forecast that the second dose of the vaccine will begin to be applied to elderly people between 72 and 74 years old on March 22.

Corporate radar

Braskem had a net profit attributable to majority shareholders of R $ 846 million in the fourth quarter of 2020, compared to a net loss of R $ 2.92 billion registered in the same quarter of 2019.

Eneva had a net profit of R $ 686.5 million in the fourth quarter, an increase of 88% on an annual basis. Meanwhile, net operating income totaled R $ 1.22 billion, 10% more on the same basis of comparison.

Higher highs

Higher number of casualties

Ecorodovias saw an increase in traffic on the main highways it manages in the fourth quarter, but a large book write-down led the infrastructure concession operator to a loss. The company announced a loss of R $ 630.7 million between October and December, compared to a gain of R $ 79.2 million in the same period of 2019. The final balance of the result was affected by a write-off of R $ 616 million related to the Ecoporto Santos concession contract, which has not been extended. The company had extended the contract for another 25 years for years, but the infrastructure ministry denied the request.

Vale approved this Wednesday the list of candidates for the composition of the Board of Directors during the period from 2021 to 2023.

(With content from Reuters and Estadão)

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