Dollar drops to R$ 5.19 with domestic relief and international optimism; Ibovespa goes up – Young Pan


Investors echo the dismemberment of the economic team amid the ministerial reform announced by Bolsonaro

Given Ruvic / ReutersDollar drops for second straight day with better environment in global markets and domestic relief

The main indicators of financial market Brazil closed in the positive field this Wednesday, 21, with the repercussion of the ministerial reform announced by Jair Bolsonaro (no party) and good humor on the international stock exchanges. In another day of strong oscillation, the dollar ended with a drop of 0.76%, quoted at R$ 5.192. The North American currency reached the maximum of R$ 5,277, while the minimum did not exceed R$ 5,182. The exchange ended the day with a drop of 0.37%, to R$ 5,231. Following the optimism in global markets, which put aside fears about the dissemination of Covid-19, the Ibovespa, a reference on the Brazilian Stock Exchange, closed with an advance of 0.42%, at 125,929 points. The trading session this Tuesday, 20, ended up 0.81%, at 125,401 points.

O federal government prepares the dismemberment of part of the Ministry of Economy to recreate the Work and Pensions folder. According to information confirmed to Young pan by members of the economic team, the move will be made as a nod to the Centrão to accommodate the current head of the General Secretariat of the Presidency of the Republic, Onyx Lorenzoni (DEM), which will leave the folder for the input of Luiz Eduardo Ramos, responsible for the Civil House. The general, in turn, will be replaced by the senator Ciro Walnut (PP-PI). The negotiations are part of the ministerial reform announced by the president Jair Bolsonaro (no party) this Wednesday morning and should be made official next Monday, 26. Changes in the portfolio were confirmed by minister Paulo Guedes this morning. “We are going to make an organizational change here too, these news are precisely in the direction of employment and income.”

Investors also positively analyzed the release of record revenue from the Federal Revenue in the first half of the year. According to tax data, the first six months of the year ended with a collection of R$ 881.9 billion, a real increase of 24.49% compared to the same period last year. This is the highest value for the first half of the year since the beginning of the historical series, in 1995. The result was driven by the collection of R$ 137.1 billion in June, an amount already readjusted by the inflation measured by the Broad Consumer Price Index (IPCA). In comparison with the same month last year, the tax revenue increased 46.77%, the second best performance in the series. The result interrupts the sequence of historic monthly collections started in February, despite the worsening of the new coronavirus pandemic and the resumption of measures for social isolation at the end of the first quarter.