Brazil's Finance minister Joaquim Levy warned that any attempt to relax spending-reduction goals for this year would inevitably extend the duration of the current fiscal adjustment program. The statement was made on Sunday in a long interview with one of Brazil's leading dailies, Folha de Sao Paulo.
Brazil's Petrobras is working to bring domestic diesel and gasoline prices into parity with international levels in order to attract downstream buyers or partners. The oil and gas giant needs to sell assets to survive a combination of mounting debt, low oil prices and a giant corruption scandal.
Capital Economics, a leading macroeconomic research company has announced the imminent opening of an office in New York. The office will be led by the firm’s Chief Emerging Markets Economist, Neil Shearing, who is relocating to the US from London.
Mercosur agreed at the Brasilia summit that in the second half of the year they will address alternatives for the elimination of tariff and other similar barriers that impede the natural flow of trade of goods and services among its members. The initiative was agreed by Common Market Council, CMC, on the first day of deliberations and confirmed on Friday by the presidents of the group's full members.
Uruguay is attending the Mercosur summit in Brazil hoping the group implements deep changes, particularly referred to the free circulation of goods, services and production factors, and considers a six month period should be sufficient trial for the changes to become effective.
The International Monetary Fund (IMF) slightly improved its outlook on Argentina’s economy saying the country will grow 0.1% in 2015 and will remain stagnant in 2016. Nevertheless, IMF warned the country is going through a “very delicate” situation and insisted that the improved outlook doesn’t change its views regarding Argentina.
Federal Reserve Chair Janet Yellen said the US central bank remains on track to raise interest rates this year, with labor markets expected to steadily improve and turmoil abroad unlikely to throw the US economy off track.
Argentine May industrial activity was up 0.4% over April but down 3.8% in May compared to a year ago and in the first five months of 2015 has contracted 2.6%, according to the monthly survey from the Argentine Industrial Union, UIA, released on Wednesday.
Argentina's 'official' inflation during June was 1% over the previous month according to the National Statistics and Census Institute, Indec, while prices during the current calendar year prices have reached 6.7% and 15% over the last twelve months.
Mercosur will be holding its half year presidential summit in Brasilia next Thursday and Friday, an event which will expose an abundance of trade and political conflicts, discrepancies and recurrent challenges despite all its members commitment to integration. Besides full members, Argentina, Uruguay, Paraguay, Venezuela and Brazil, leaders from Chile, Peru, Ecuador, Bolivia, Colombia, Guyana and Surinam have also been announced.