Halister News

--MICHAEL ROSCHNOTTI

(Bloomberg) -- (Translated by Google and reviewed by Bloomberg editors.)

• The inflation report may be modified to reduce the emphasis on a possible moderation in the pace of interest rate cuts in face of fresh evidence on inflation and after the IPCA inflation index showed a significant downward surprise in May, says a report signed by the chief economist Mario Mesquita
• In addition to the IPCA, economist quotes expectations for inflation measured at Focus, which, despite political uncertainty, showed a median decline in 2017 and relative stability for 2018
• If the inflation report becomes less emphatic about the adequacy of the moderate deceleration of the rate of cut in the next monetary policy meetings, this will be a clear signal that the committee can be divided between 75bps or 100bps
• For now, Itau forecasts a cut of 75bps in July and 50bps in the three subsequent meetings; Forecast is 8% at the end of 2017 and 2018

Original Story: Itaú: Após IPCA, RTI pode reduzir ênfase na moderação do ritmo To contact the translator on this story: Priscilla Murphy in Brasilia Newsroom at pmurphy134@bloomberg.net Reporter on the original story: Patricia Lara in Sao Paulo at plara6@bloomberg.net Editors responsible for the original story: Daniela Milanese at dmilanese@bloomberg.net Priscilla Murphy, Marisa Castellani

(Bloomberg) -- Sale of Deutsche Telekom’s US subsiadiary now off the table, Handelsblatt reports citing unidentified management officials.

• Telekom would continue managing merged co
• Supervisory board still has to officially decide on merger
• Telekom managers confident merger will be approved by U.S. authorities
• NOTE: June 5, In T-Mobile-Sprint Talks, All-Stock Option Said to Emerge
• NOTE: June 19, Moody’s said potential Sprint/T-Mobile merger was financially compelling

--ANTONY SGUAZZIN

(Bloomberg) -- Brazil Senate’s Social Committee decision to reject labor reform bill is a bad sign for the government, says Paulo Petrassi, a partner at Leme Investimentos, in a telephone interview. See main points:

• If with labor reform things are like this, imagine how it will be with pension reform, Petrassi questions
• Temer can’t go on with reforms
  • Negative things for the government will continue to appear
• It would be very good if Temer "resigned," Petrassi says
  • Temer will realize that he is doing a tremendous harm to the country, missing the opportunity to pass very important reforms, Petrassi says
• NOTE: Brazil Senate Social Committee Rejects Labor Reform Bill 
• NOTE: Brazil’s Real Falls to 1-Month Low as Senate Rejects Labor Bill

Original Story: Leme Investimentos: Temer não tem condição de continuar reformas To contact the translator on this story: Danielle Chaves in Sao Paulo at djelmayer@bloomberg.net Reporter on the original story: Ana Carolina Siedschlag in São Paulo at asiedschlag@bloomberg.net Editors responsible for the original story: Daniela Milanese at dmilanese@bloomberg.net Patricia Lara

--Washington Newsroom (202) 624-1820

--Washington Newsroom (202) 624-1820