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The administration of Brazilian President Dilma Rousseff has shifted into overdrive to diffuse what could become the biggest risk for an impeachment against her -- accusations she doctored her budget results last year. Attorney-General Luis Inacio Adams has filed a 1000-page defense and personally met with the nine members of the audit court, appointed by... Continue Reading →
Finance Minister Joaquim Levy’s proposal to reduce Brazil’s budget savings reflects the hard reality that a contracting economy has forced the government to scale back its ambitions for fiscal retrenchment. Levy said he is targeting a fiscal surplus that excludes interest payments equal to 0.15 percent of gross domestic product this year, a sharp reduction... Continue Reading →
Brazil’s real led global declines as a contracting economy forced Finance Minister Joaquim Levy to dilute the government’s fiscal target, adding to concern that the nation is facing a credit downgrade. The real dropped 1.3 percent to 3.2646 per dollar at 9:17 a.m. in Sao Paulo, the weakest level on a closing basis since March... Continue Reading →
Morgan Stanley has been pretty pessimistic about oil prices in 2015, drawing comparisons to the some of the worst oil slumps of the past three decades. The current downturn could even rival the iconic price crash of 1986, analysts had warned—but definitely no worse. This week, a revision: It could be much worse. Read More
July 22, 2015 — 6:09 PM BRT Brazil will freeze an additional 8.6 billion reais ($2.7 billion) in spending and proposes to reduce the primary surplus target for its 2015 budget to 0.15 percent of gross domestic product, according to a government budget report. The government previously targeted a primary budget surplus, which excludes interest... Continue Reading →
The Swiss Attorney General's office said on Wednesday it has widened a corruption investigation into Brazilian oil firm Petrobras to include Latin America's largest engineering and construction company, Odebrecht SA, and its subsidiaries. Swiss authorities have been collaborating with Brazil on the Petrobras probe since at least March. Their help with an ongoing Brazilian investigation... Continue Reading →
When Brazil revises its 2015 budget estimates Wednesday afternoon, the question investors will be asking is how much more spending can be cut without deepening an economic recession. Tax revenue has dropped below government estimates this year as the economy slows amid austerity measures designed to mend the worst budget deficit on record, and rate... Continue Reading →
Reuters - Swiss Petrobras investigation widens to include Odebrecht GENEVA, JULY 22 The Swiss Attorney General's office has widened a corruption investigation into Brazilian oil firm Petrobras to include construction company Odebrecht SA and other associated entities, it said on Wednesday, confirming a report in the Neue Zuercher Zeitung newspaper. "Subsidiaries of Odebrecht are suspected... Continue Reading →
Halliburton Co.’s takeover of Baker Hughes Inc. is facing resistance from U.S. enforcement officials who are concerned the tie-up could hurt competition, according to a person familiar with the matter. Justice Department lawyers reviewing the proposed $34.6 billiontransaction are worried that the oilfield services industry would become too concentrated after a combination of its No.... Continue Reading →
Traders now have one more reason to expect a downgrade of Brazil’s credit rating. A press report saying President Dilma Rousseff will cut the primary budget surplus goal, which excludes interest payments, spurred the worst slide in the Americas for the Ibovespa. An earlier-than-estimated revision of the target is seen hurting the government’s credibility and... Continue Reading →
Brazil Energy Insight 