Change in Moody’s assessment is an asset for Haddad in disputes with the government’s political wing | Valdo Cruz’s blog

After six years, risk agency Moody’s improves Brazil’s credit rating outlook

This Wednesday (2), the agency began to view the future prospects for the country with more optimism, and signaled that it may soon change Brazil’s rating note, which was maintained at two steps of investment grade, which is the good payer seal.

If the score also changes, and Brazil reaches this level, the country will have the approval of this agency to attract more investments. What will define whether the credit rating changes will be the direction of fiscal policy.

In Congress, the president of the Senate, Rodrigo Pacheco (PSD-MG), indicated that the Legislature will start demanding a reduction in government spending and will no longer approve any measure to increase revenue proposed by the economic team.

Today, the Minister of Finance, Fernando Haddad, receives the president of the Central Bank, Roberto Campos Neto, in São Paulo, one day after the Federal Reserve, the Central Bank of the United States, signaled that interest rates there should not fall this year , given the resilience of American inflation to move towards the target of 2% per year.

The FED’s decision has repercussions on Brazilian monetary policy, a week before the Copom meeting, on May 7th and 8th, reinforcing economists’ bets that the Brazilian BC may reduce the intensity of the interest rate cut, from 0. 50 percentage points to 0.25 percentage points.