The possibility that the Central Bank (BC) formally gain operating autonomy with its board of directors with a fixed mandate or technical autonomy-condition that would guarantee operational autonomy even without a fixed mandate – encouraged monetary policy experts and investors on Tuesday. A Central Bank with formal autonomy alters the perception of risk of an economy.
Carlos Kawall, chief economist of Banco Safra and former secretary of the National Treasury, reported that the proposal has not yet been incorporated into the prices of assets by investors, recalling that the project – at that time not delineated by the government and not by the leader of the government in the country, Senado Romero Jucá (MDB-RR) – “could have an impact on the curve of interests”.
The former director of the BC and current partner of Maua Capital, Luiz Fernando Figueiredo, considers the discussion on the BC’s autonomy to be more mature and argued that the immediate impact of the proposal on the market could be small, but stated that, in a situation the more “adversary”, the interest in the long will rise less. Figueiredo stressed that the “current BC enjoys enormous autonomy and credibility.”
Marco Caruso, chief economist of Banco Pine, assessed that, based on BC’s autonomy, the “natural” would be the reduction of inflation targets during the next few years. “It is the way that is expected according to the market perceive that the Selic cycle will be more disconnected from the political.
Pablo Stipanicic Spyer, director of operations of Mirae Asset Wealth Management Brazil, in an interview with Casa das Caldeiras this morning, spoke about the Ibovespa jump for a new record of yesterday’s score: 85,804 points, up 1.19% , reaching a maximum of 86,290 points. The economist recognized the importance of the privatization of Eletrobras to return to the discussion, even as one of the elements of the package of measures presented by the government, but considered that the Central Bank’s autonomy issue played an important role in the conduct of business. in the Brazilian stock market.
“It was not Eletrobras that lifted the Ibovespa on Tuesday, Eletrobras was the share that rose the most, but its weight in the index is less than 1%, Bradesco, for example, weighs almost 10%. Eletrobras gained from 7% to 8%, before the close of the day before and moved the Ibovespa between 24 and 27. Petrobras helped, but the financial sector was crucial for the stock market to take off The papers of Itaú plus Itaúsa, Banco do Brasil and Bradesco raised the index by almost 650 points during this time, “he said. It justified the renewed interest of the investors for the actions of the banks, in their evaluation, for the prospect of the fall of the risk premium that the autonomy of the BC tends to provide if it is approved. “The 15 measures were not expected and even less the inclusion of the autonomy of the BC among them.” The Executive initiative underscored the importance of such a measure, “he said.