Halister News

(Bloomberg) -- BRL’s mild gains show that yesterday’s win by the Temer government on the fiscal target vote failed to generate greater optimism on feasibility of more ambitious reforms, analysts say.

• “The fiscal target approval was Temer’s first victory; however, the votes on constitutional reforms, such as those limiting government spending, are bigger challenges”, Luciano Rostagno, chief-strategist at Banco Mizuho says in a phone interview
• “Temer’s first victory brings some relief,” Joao Paulo de Gracia Correa, head of FX trading at brokerage SLW, says
• “While investors remain cautious, there is this optimism that Temer has much more support than his predecessor to have economic measures approved”
  • Risk-appetite seen in external markets, with stocks and oil rising, also supportive for BRL today, Mizuho’s Rostagno says