Brazil analysts raised their estimate for inflation next year for the eighth straight week on expectations of a weaker real in 2015. Inflation next year will reach 5.87 percent, up from the previous estimate of 5.7 percent, according to the Sept. 25 central bank survey of about 100 analysts. The analysts predicted that the benchmark... Continue Reading →
The Real closes a tumultuous week below R$4.00 to the dollar.
The Brazilian currency closed the most volatile week more stable at R$3.97 to the US dollar after the monetary authorities intervened heavily to stop the speculation. Was it a speculative attack on the currency or major lack of confidence? With reserves of U$370 billion you might rule out an speculative attack. Lack of confidence of... Continue Reading →
Bill Gates’ foundation sues Brazil’s Petrobras
The Bill & Melinda Gates Foundation has sued Brazil's Petrobras to recoup stock losses stemming from a corruption scandal at the state-run oil company. According to a complaint filed late Thursday night in federal court in Manhattan, Petrobras' "pervasive bribery and money laundering scheme" caused the Gates Foundation and another plaintiff, WGI Emerging Markets Fund... Continue Reading →
Brazil’s Odebrecht O&G seeks new lease, other options after rig returned
Brazil's Odebrecht O&G seeks new lease, other options after rig returned SAO PAULO, SEPT 24 Brazilian drillship builder Odebrecht Oleo e Gas is seeking another leasing deal or other alternatives, the company said on Thursday, following a decision by state-run oil company Petrobras to return one of its rigs. Marcela Drehmer, the chief financial officer... Continue Reading →
Brazil Real Advances as Volatility Climbs to Highest Since 2011
Brazil’s real headed for a second straight gain, bolstered by policy makers’ signals they could boost support for the currency, after a tumultuous week of trading sent volatility to the highest level in almost four years. The currency added 0.4 percent to 3.9335 per dollar as of 9:47 a.m. in Sao Paulo, leaving it up... Continue Reading →
Brazil Respite Seen Short Lived With Momentum Going Against Real
Note: the Real opened stronger this Friday testing the R$3.90 level for the US dollar. Alexandre Tombini’s pledge to use all the tools he has to tame volatility in Brazil’s real provided a respite Thursday for thebeleaguered currency. Strategists at Citigroup Inc. and Standard Chartered Plc say it won’t be enough to calm markets. The... Continue Reading →
Brazil Impeachment Battle Heats Up Before Rousseff Flies to U.S.
The debate over President Dilma Rousseff’s political survival intensified as lawmakers for the second time this month debated impeachment, clashing over the rules of a process that hasn’t been carried out in Brazil since 1992. Lawmakers disagreed Thursday whether Rousseff can be impeached for misdeeds allegedly carried out in her previous term. Lower house President... Continue Reading →
Gulf Rig Supplier May Be First to Exit Oil-Slump Bankruptcy
Hercules Offshore Inc. may become the first big energy-sector business to exit bankruptcy since the crude slump triggered insolvencies among oil and gas drillers and the companies that serve them. Hercules, the owner of the largest fleet of shallow-water drilling rigs in the Gulf of Mexico, won court approval of its reorganization plan Thursday, less... Continue Reading →
What a day for the Real – USD closes at R$3.99
After a dramatic opening of the US dollar at R$4.23, an all time high, the Brazilian currency rebounded and the US dollar closed at R$3.99. A 5% swing from high to low. It gives you an idea of the tremendous uncertainly the country and economy are suffering. Can you imagine being a multinational CFO and... Continue Reading →
Transocean Cited in Petrobras Carwash Corruption Investigation
Transocean Ltd., the world’s largest offshore rig contractor, is being linked for the first time to the corruption probe of Petroleo Brasileiro SA, the state-owned energy giant at the center of Brazil’s biggest corporate scandal. A former executive at Brazil’s state-run oil company has testified to receiving what he says were payments made by someone claiming to... Continue Reading →
