Brazil’s electoral court delayed a decision on whether to open hearings into allegations President Dilma Rousseff illegally financed her re-election campaign, charges that could provide grounds for her removal from office. Five of the seven judges on the court, known as the TSE, said they were in favor of opening hearings, and one voted against.... Continue Reading →
Brazil Real Volatility at Four-Month High on Political Outlook
Volatility in Brazil’s real climbed to a four-month high as domestic political turmoil and a global selloff in emerging-market assets whipsawed traders. The currency reversed earlier gains and fell to a 12-year low. While data released Wednesday showed a bigger-than-forecast increase in manufacturing last month, a majority of judges on an electoral court voted to... Continue Reading →
Petrobras Taps Brazil Bond Market as Dollar Borrowing Costs Soar
Petroleo Brasileiro SA is seeking refuge in Brazil’s domestic bond market as overseas borrowing costs surge amid a plunge in the local currency has exposed a mismatch between its real-based revenues and dollar debt payments. The world’s most-indebted oil producer said it’s planning to sell 3 billion reais ($830 million) in local bonds. The move... Continue Reading →
Schlumberger to Buy Cameron in $14.8 Billion Oil Services Deal
Schlumberger Ltd. agreed to buy Cameron International Corp. for $14.8 billion, allowing the world’s largest oilfield-services provider to bundle its services and gear more effectively. Cameron stockholders will receive 0.716 Schlumberger shares and a cash payment of $14.44 in exchange for each Cameron share, according to a regulatory statement on Wednesday. The deal valued at... Continue Reading →
Brazil real weakens to 3.6 per dollar for 1st time in 12 years
Reuters Brazil real weakens to 3.6 per dollar for 1st time in 12 years Aug 25 The Brazilian real slid 1.5 percent late on Tuesday and crossed the psychologically important level of 3.6 per dollar for the first time in more than 12 years as traders worried about a growing political crisis in Latin America's... Continue Reading →
Brazil Court to Decide on Hearing Rousseff Campaign Funding Case
Brazil’s electoral court will vote late on Tuesday whether to open hearings into allegations President Dilma Rousseff illegally financed her re-election campaign, charges that could provide grounds for her removal from office. A petition with the court filed by the opposition party PSDB alleges that Rousseff and her Vice-President Michel Temer used more money than... Continue Reading →
Brazil Current Account Gap Widens Less Than Forecast in July
Brazil’s current account gap widened less than analysts forecast as a weaker real and a shrinking economy reduces imports. The deficit in the current account, the broadest measure of trade in goods and services, widened to $6.2 billion in July from a revised $2.6 billion a month earlier, the central bank said in a report... Continue Reading →
Petrobras Among Brazil Borrowers Most at Risk as Real Sinks
Petroleo Brasileiro SA, the state-controlled oil producer with $55 billion of overseas bonds, is among the Brazilian companies most at risk of seeing leverage ratios swell as the real posts the world’s biggest currency losses. For Petrobras, the electric utility known as Eletrobras, airline Gol Linhas Aereas Inteligentes SA and mall operator General Shopping Brasil... Continue Reading →
Not Even World’s Highest Rates Keep Foreigners in Brazil Bonds
Non-resident holdings of local notes have dropped to the lowest level this year amid growing speculation that President Dilma Rousseff won’t be able to fulfill promises to reduce government spending and shore up finances. Her pledge Monday to shut down 10 ministries and sell properties to raise cash failed to reverse a selloff in risky... Continue Reading →
Petrobras uneasy with aspects of Sete restructuring -sources
State-controlled Petróleo Brasileiro SA is growing uneasy with some aspects of the business reorganization of ailing oil-drilling-rig builder Sete Brasil Participações SA, a situation that may pose risks on the refinancing of $3.8 billion in debt, two sources said on Monday. Officials at Petrobras, as the oil company is known, are questioning technical aspects of... Continue Reading →
Brazil Energy Insight 