❶ – International markets remain cautious with the process of reopening central economies, reflecting the economic data that signal a strong recession. Also on the radar are concerns about a second wave of infections.

❷ – In the US, President Donald Trump continues to defend the resumption of economic activity, in an attempt to counteract fears that the epidemic will continue to spread strongly throughout the country.

❸ – On the European continent, Spain and France are gradually reducing restrictions measures. And the United Kingdom is already preparing to present its recovery plan. Russia, on the other hand, had a new record of cases and became the new epicenter in Europe. 

❹ – Fears of a second wave of contamination are causing concern in Germany, South Korea and China, after these countries recorded an increase in the numbers of new cases. Since they were considered in advanced stages in the fight against Covid-19.  

❺ – In Brazil, according to the Ministry of Health, 162,699 cases have already been registered, with 11,123 deaths. After the STF determines that States and Municipalities have the prerogative to establish the distance measures, President Bolsonaro, by decree, should increase the number of labor categories considered essential.

❻ – The president must make a partial veto on emergency aid for states and municipalities. The approved project guarantees a transfer of 50 billion to states and 10 billion to municipalities. But it included a limitation on the number of categories of civil servants who should have their wages frozen, this stretch will be vetoed by the president. The wage freeze was the fiscal counterpart proposed by the Ministry of Economy. The importance of this veto lies in the fact that in addition to reducing the fiscal impact of the measures, it should signal that Paulo Guedes’ economic team remains prestigious.

Economic Bulletin – PDF