By Sagarika Jaisinghani

Sept 29 (Reuters)The Brazilian real and the Mexican peso outperformed Latin American currencies on Tuesday following a slump in the past two sessions, while regional equities tracked a slide on Wall Street ahead of the U.S. presidential debate later in the day.

The real BRBY was up 0.2% by 1524 GMT, with the dollar slipping from recent two-month highs as investors held off on making big bets ahead of the first debate between U.S. President Donald Trump and Democratic challenger Joe Biden. FRX/

Brazil’s real has fallen to record lows this year due to the economic fallout from the COVID-19 pandemic, although a string of recent data has raised hopes that Latin America’s largest economy could return to growth next year.

Investor sentiment has also been subdued by concerns around the government’s plans to fund a new minimum income program called Renda Cidada, which

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By Ricardo Brito and Marcela Ayres



Jair Bolsonaro wearing a suit and tie smiling and looking at the camera: Brazil's President Jair Bolsonaro and Economy Minister Paulo Guedes attend a press statement at the Alvorada Palace in Brasilia


© Reuters/ADRIANO MACHADO
Brazil’s President Jair Bolsonaro and Economy Minister Paulo Guedes attend a press statement at the Alvorada Palace in Brasilia

BRASILIA (Reuters) – Brazil’s government on Monday detailed how it would pay for a new minimum income program called Renda Cidada, with President Jair Bolsonaro and Economy Minister Paulo Guedes still pledging to honor the country’s spending cap and fiscal rules.

The proposed program would replace Bolsa Familia, the successful flagship welfare program of former Workers Party President Luiz Inacio Lula da Silva, which pays women a stipend on the condition that they send their children to school and has been credited with reducing poverty in Brazil.

Renda Cidada, which translates as “Citizen Income,” would draw from funds already dedicated to Bolsa Familia, as well as from an education fund called Fundeb, said Senator Márcio Bittar, speaking on the sidelines of a

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BRASILIA (Reuters) – The cost to Brazil’s government of servicing its ballooning domestic debt fell to an all-time low in August, official figures showed on Monday, following the drop in official interest rates and a dramatic shortening of the debt profile.

Treasury also said it is monitoring the short-term, floating rate “LFT” market closely, and expects it to stabilize soon as the recent spike in premiums over the central bank’s benchmark Selic rate “at some level” attracts buyers.

“We believe the market is undergoing a repricing shift and that, at some level, it should stabilize,” Luis Felipe Vital, head of debt management, told reporters online after the Treasury released its debt report for August.

As the Treasury chart below shows though, the average rate of interest on the domestic federal debt stock fell to a new low of 7.3% in August, and the average rate of interest on new domestic

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Updates number of employees laid off

SAO PAULO, Sept 17 (Reuters)Brazil’s largest lender Itau Unibanco Holding SA ITUB4.SA has laid off at least 270 employees since the beginning of September, according to a bank employees union leader on Thursday.

Layoffs reached 130 positions in the car loan unit and also hit workers located at bank branches, the union added.

Itau, which ended June with roughly 95,000 employees, pledged not to cut any jobs for an unspecified period of time during the coronavirus pandemic.

“Banks had committed not to fire workers during the pandemic and now are breaking their promise,” said Juvandia Moreira, head of the national bank employees union Contraf.

In a statement to Reuters, Itau said it resumed in September both hirings and layoffs, which had both been halted since the pandemic slammed Brazil in March. The bank did not

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Updated

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By Carolina Mandl

SAO PAULO, Sept 14 (Reuters)The days of marquee global investment banks being shoo-ins for stock market listings could be coming to an end, in Brazil at least.

The Brazilian market for initial public offerings is booming this year despite the pandemic. Yet among the five banks leading managers’ rankings in terms of deal volumes, four are domestic, according to Refinitiv data: Itau Unibanco Holding SA ITUB4.SA, Banco Bradesco SA BBDC4.SA, XP Inc XP.O and Banco BTG Pactual SA BPAC3.SA.

The other is Bank of America BAC.N.

That’s a marked reversal from the same period last year, when four of the top five were major global players – Bank of America, Credit Suisse CSGN.S, Citi C.N and HSBC HSBA.L – with just one Brazilian outfit, Banco do Brasil BBAS3.SA.

Still, industry experts caution that, despite the shifting trends in

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BRASILIA (Reuters) – Brazilian planemaker Embraer SA said on Thursday it is reducing its workforce by 4.5%, or around 900 jobs, as it restructures its business to deal with the COVID-19 pandemic and cancellation of its partnership with Boeing.

In the first half of this year, commercial jet deliveries plunged 75% compared with the same period a year earlier, Embraer said in a statement. The company noted that the pandemic hit its commercial aviation division particularly hard.

Separately, newspaper Folha de S. Paulo reported that public prosecutors are to investigate Embraer for allegedly coercing staff to accept voluntary redundancy.

The metalworkers union in Sao Jose dos Campos, where Embraer is based, said in a statement that employees accuse Embraer of coercing them to join the program, whose deadline was Tuesday.

The union said it had not been involved in negotiating the layoffs, which it equated to firings. It said the

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By Sagarika Jaisinghani

Sept 2 (Reuters)The Russian rouble slid 2% on Wednesday after Germany said Kremlin critic Alexei Navalny had been poisoned with a nerve agent of the Novichok family, while the Brazilian real rose as data signaled a stable post-pandemic economic recovery.

After having opened slightly weaker against the U.S. dollar, the rouble tumbled 2.4% to 75.30 RUBUTSTN=MCX in reaction to the German comment. Versus the euro EURRUBTN=MCX, the rouble fell 1.5% to 88.93. RU/RUB

The real BRBY firmed for a second straight session as data showed factory gate inflation rose at its fastest pace in July, driven by increasing food costs and the price of oil and biofuels products.

A selloff in the currency has eased recently amid stronger-than-expected macroeconomic data, including record growth in manufacturing activity last month.

Central bank chief Roberto Campos Neto said on Wednesday Latin America’s biggest economy was on

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A member of Imperio Serrano Samba School gestures during their 2019 paradeImage copyright
Getty Images

Image caption

The celebration usually brings millions out onto the streets

They call it the greatest spectacle on earth and for Brazil, carnival is everything.

While Rio de Janeiro’s carnival is Brazil’s most famous, cities such as São Paulo have in the past few years been starting to make a name for themselves.

With a spectacle of such proportions, preparation is everything and samba schools would normally already be getting ready for next year’s carnival, due to be held in February 2021.

Currently, São Paulo’s carnival parade – the highlight of the festivities – has already been delayed by eight months until October 2021.

But depending on how the crisis unravels, there is no guarantee it will not be delayed further. There are question marks over what Rio’s plans are, too.

At this point of the year, Imperio da Casa Verde, one of São Paulo’s leading

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