IBOV 176,723 ▲ 0.56% IPSA 10,928 ▲ 0.16% IPC MEX 66,637 ▲ 1.01% MERVAL 3,220,350 ▼ 0.46% COLCAP 2,296.81 ▼ 0.47% BVL PERÚ 56,428.20 ▲ 1.15% USD/BRL5.07▼ 1.25% USD/MXN17.42▼ 0.60% USD/CLP926.08▼ 0.73% USD/COP3,247▼ 0.48% USD/PEN3.39▼ 0.62% USD/ARS1,470▼ 0.88% USD/UYU40.23▲ 0.99% USD/PYG6,039▲ 1.12% USD/BOB10.35▲ 6.04% USD/DOP58.25▲ 0.29% USD/CRC448.93▲ 1.31% USD/GTQ7.62▲ 2.07% USD/HNL26.73▲ 1.38% USD/NIO36.62▲ 0.63% USD/VES722.19▼ 0.13% USD/PAB1.00— 0.00% USD/BZD2.00— 0.00% USD/JMD156.98▲ 0.25% USD/TTD6.75▲ 1.19% EUR/BRL5.79▼ 0.44% BRENT 85.32 ▲ 2.42% WTI 79.67 ▲ 1.96% IRON ORE 161.91 — — COPPER 6.37 ▲ 2.15% GOLD 4,063 ▲ 1.66% SILVER 59.10 ▲ 2.54% SOY 1,191 ▼ 0.96% CORN 459.50 ▲ 4.97% WHEAT 644.00 ▲ 2.71% COFFEE 327.00 ▼ 4.22% SUGAR 14.92 ▲ 1.15% ORANGE JUICE 140.90 ▼ 1.16% COTTON 81.68 ▲ 2.32% COCOA 5,936 ▲ 4.21% BEEF 231.58 ▼ 1.34% CATTLE 349.63 ▼ 1.33% LITHIUM 71.34 ▲ 1.57% PETR4 40.67 ▲ 0.02% VALE3 74.20 ▲ 1.85% ITUB4 43.51 ▼ 0.02% BBDC4 18.67 ▼ 0.53% ABEV3 15.84 ▲ 0.06% BBAS3 20.60 ▲ 1.78% B3SA3 15.47 ▲ 2.31% WEGE3 44.44 ▲ 0.11% PRIO3 57.21 ▲ 0.02% SUZB3 41.38 ▼ 0.27% RENT3 40.50 ▲ 0.75% AZZA3 18.92 ▼ 1.56% CSAN3 3.89 ▼ 0.26% RAIZ4 0.31 ▼ 6.06% PCAR3 2.48 ▼ 4.25% GMAT3 4.01 ▲ 1.78% PSSA3 54.50 ▲ 0.85% CVCB3 1.38 ▲ 10.40% POSI3 4.00 ▲ 0.25% SLCE3 13.74 ▼ 0.94% NATU3 8.55 ▼ 0.58% BRKM5 6.69 ▼ 3.60% RANI3 8.03 ▲ 1.01% CSNA3 5.15 ▼ 1.72% CMIN3 5.07 ▼ 6.97% USIM5 8.27 ▼ 1.31% GGBR4 23.17 ▲ 1.53% ENEV3 26.97 ▲ 0.33% CPFE3 47.30 ▲ 0.98% CMIG4 11.19 ▲ 1.08% EQTL3 40.93 ▲ 1.79% LREN3 14.29 ▲ 0.99% VIVT3 35.57 ▲ 2.42% RAIL3 14.12 ▲ 0.07% KLABIN 17.47 ▼ 0.06% RAIA DROGASIL 18.47 ▲ 1.48% RDOR3 36.12 ▲ 1.57% HAPV3 11.09 ▲ 6.02% FLRY3 16.48 ▲ 2.04% SMTO3 16.20 ▼ 1.04% UGPA3 30.09 ▼ 2.72% VBBR3 33.22 ▲ 1.40% BBSE3 40.31 ▲ 0.07% BPAC11 58.00 ▲ 0.83% CURY3 33.76 ▲ 1.93% AERI3 2.06 ▼ 0.96% VIVARA 23.48 ▲ 1.60% COMPASS 25.24 ▲ 1.90% VAMOS 3.12 ▲ 3.31% SANB11 27.40 ▲ 0.11% ASAI3 8.70 ▼ 0.11% SBSP3 30.36 ▼ 0.03% WALMEX 49.36 ▼ 0.58% GMEXICO 201.31 ▲ 2.92% FEMSA 232.29 ▲ 3.08% CEMEX 22.14 ▲ 1.65% GFNORTE 186.84 ▲ 2.62% BIMBO 56.37 ▲ 0.89% TELEVISA 9.52 ▼ 0.94% AMX 22.96 ▲ 1.64% GAP 394.20 ▼ 3.43% ASUR 277.85 ▼ 0.29% OMA 235.93 ▲ 1.12% KOF 180.40 ▼ 0.70% GRUMA 280.18 ▼ 0.42% KIMBER 38.54 ▲ 0.84% SQM-B 67,412 ▲ 0.30% COPEC 6,140 ▲ 1.37% BSANTANDER 78.77 ▲ 0.73% FALABELLA 5,914 ▲ 0.15% ENELAM 85.18 ▲ 1.16% CENCOSUD 2,050 ▲ 0.50% CMPC 1,087 ▲ 0.80% BANCO CHILE 188.19 ▲ 1.72% LATAM AIR 24.67 ▼ 0.92% YPF 77,400 ▲ 0.29% GGAL 7,910 ▼ 2.10% PAMPA 5,205 ▼ 0.38% TXAR 662.00 ▼ 0.38% ALUAR 950.00 ▼ 1.50% TGS 9,680 ▲ 1.15% CEPU 2,302 ▼ 0.73% MIRGOR 16,750 ▼ 1.47% COME 45.35 ▲ 1.27% LOMA NEGRA 3,513 ▲ 0.43% BYMA 301.75 ▼ 2.11% TELECOM ARG 4,310 ▲ 1.41% ECOPETROL 16.02 ▲ 0.88% BANCOLOMBIA 81.58 ▲ 1.44% GRUPO AVAL 4.92 ▲ 0.20% CREDICORP 391.68 ▲ 0.63% SOUTHERN COPPER 181.42 ▲ 3.95% BUENAVENTURA 30.75 ▲ 3.10% MERCADOLIBRE 1,856 ▼ 0.60% NUBANK 13.89 ▲ 1.57% XP 16.79 ▲ 2.54% PAGSEGURO 9.20 ▼ 0.92% STONE 11.18 ▲ 0.27% GLOBANT 31.19 ▼ 2.90% TECNOGLASS 43.85 ▲ 2.36% GAP AIRPORT 226.29 ▼ 2.78% ASUR 277.85 ▼ 0.29% OMA AIRPORT 108.15 ▲ 1.90% AMX ADR 26.27 ▲ 0.90% FEMSA ADR 133.41 ▲ 3.41% CEMEX ADR 12.72 ▲ 2.13% PETROBRAS ADR 17.94 ▲ 0.31% VALE ADR 14.58 ▲ 2.82% ITAU ADR 8.56 ▲ 1.00% SANTANDER BR 5.41 ▲ 1.12% AMBEV ADR 3.09 ▲ 0.98% CSN 1.03 ▼ 0.49% GERDAU 4.59 ▲ 2.23% LATAM ADR 53.28 ▼ 0.09% BTC 64,579 ▲ 3.76% ETH 1,878 ▲ 5.89% SOL 77.38 ▲ 3.36% XRP 1.12 ▲ 5.03% BNB 581.01 ▲ 2.54% ADA 0.16 ▲ 4.11% DOGE 0.07 ▲ 3.51% AVAX 6.67 ▲ 3.50% LINK 8.28 ▲ 5.17% DOT 0.85 ▲ 1.49% LTC 44.98 ▲ 3.43% BCH 237.01 ▲ 0.33% TRX 0.33 ▲ 0.33% XLM 0.19 ▲ 2.81% HBAR 0.07 ▲ 0.11% NEAR 2.02 ▲ 5.44% ATOM 1.56 ▲ 1.50% AAVE 98.90 ▲ 4.81% SELIC 14.25% EMBRAER 82.90 ▼ 0.13% EMBRAER ADR 65.40 ▲ 1.42% JBS 11.87 ▲ 0.59% JBS BDR 60.15 ▼ 0.76% MBRF3 16.17 ▲ 2.86% MBRFY 3.11 ▲ 1.97% INTER 5.67 ▲ 0.27% EGX 52,299 ▼ 0.59% USD/ZAR16.37▼ 0.62% USD/NGN1,381▲ 0.07% NIKKEI 67,744 ▲ 0.74% CSI300 4,797 ▲ 2.15% HSI 24,341 ▲ 0.52% NIFTY 24,052 ▼ 0.66% KOSPI 6,857 ▲ 0.73% JCI 6,040 ▲ 0.03% USD/JPY162.18▼ 0.16% USD/CNY6.76▼ 0.26% DAX 25,147 ▲ 0.13% CAC 8,367 ▲ 0.03% FTSE 10,529 ▲ 0.30% MIB 52,863 ▲ 0.10% IBEX 19,357 ▲ 0.11% STOXX 642.10 ▲ 0.17% EUR/USD1.14▲ 0.39% GBP/USD1.34— 0.00% SPX 7,546 ▲ 0.40% DJI 52,513 ▲ 0.03% NDX 29,594 ▲ 1.13% RUT 2,964 ▲ 0.36% TSX 35,316 ▲ 0.18% VIX 16.42 ▼ 4.31% USD/CAD1.41▼ 0.62% US10Y 4.5890 ▼ 0.43% IBOV 176,723 ▲ 0.56% IPSA 10,928 ▲ 0.16% IPC MEX 66,637 ▲ 1.01% MERVAL 3,220,350 ▼ 0.46% COLCAP 2,296.81 ▼ 0.47% BVL PERÚ 56,428.20 ▲ 1.15% USD/BRL 5.07 ▼ 1.25% USD/MXN 17.42 ▼ 0.60% USD/CLP 926.08 ▼ 0.73% USD/COP 3,247 ▼ 0.48% USD/PEN 3.39 ▼ 0.62% USD/ARS 1,470 ▼ 0.88% USD/UYU 40.23 ▲ 0.99% USD/PYG 6,039 ▲ 1.12% USD/BOB 10.35 ▲ 6.04% USD/DOP 58.25 ▲ 0.29% USD/CRC 448.93 ▲ 1.31% USD/GTQ 7.62 ▲ 2.07% USD/HNL 26.73 ▲ 1.38% USD/NIO 36.62 ▲ 0.63% USD/VES 722.19 ▼ 0.13% USD/PAB 1.00 — 0.00% USD/BZD 2.00 — 0.00% USD/JMD 156.98 ▲ 0.25% USD/TTD 6.75 ▲ 1.19% EUR/BRL 5.79 ▼ 0.44% BRENT 85.32 ▲ 2.42% WTI 79.67 ▲ 1.96% IRON ORE 161.91 — — COPPER 6.37 ▲ 2.15% GOLD 4,063 ▲ 1.66% SILVER 59.10 ▲ 2.54% SOY 1,191 ▼ 0.96% CORN 459.50 ▲ 4.97% WHEAT 644.00 ▲ 2.71% COFFEE 327.00 ▼ 4.22% SUGAR 14.92 ▲ 1.15% ORANGE JUICE 140.90 ▼ 1.16% COTTON 81.68 ▲ 2.32% COCOA 5,936 ▲ 4.21% BEEF 231.58 ▼ 1.34% CATTLE 349.63 ▼ 1.33% LITHIUM 71.34 ▲ 1.57% PETR4 40.67 ▲ 0.02% VALE3 74.20 ▲ 1.85% ITUB4 43.51 ▼ 0.02% BBDC4 18.67 ▼ 0.53% ABEV3 15.84 ▲ 0.06% BBAS3 20.60 ▲ 1.78% B3SA3 15.47 ▲ 2.31% WEGE3 44.44 ▲ 0.11% PRIO3 57.21 ▲ 0.02% SUZB3 41.38 ▼ 0.27% RENT3 40.50 ▲ 0.75% AZZA3 18.92 ▼ 1.56% CSAN3 3.89 ▼ 0.26% RAIZ4 0.31 ▼ 6.06% PCAR3 2.48 ▼ 4.25% GMAT3 4.01 ▲ 1.78% PSSA3 54.50 ▲ 0.85% CVCB3 1.38 ▲ 10.40% POSI3 4.00 ▲ 0.25% SLCE3 13.74 ▼ 0.94% NATU3 8.55 ▼ 0.58% BRKM5 6.69 ▼ 3.60% RANI3 8.03 ▲ 1.01% CSNA3 5.15 ▼ 1.72% CMIN3 5.07 ▼ 6.97% USIM5 8.27 ▼ 1.31% GGBR4 23.17 ▲ 1.53% ENEV3 26.97 ▲ 0.33% CPFE3 47.30 ▲ 0.98% CMIG4 11.19 ▲ 1.08% EQTL3 40.93 ▲ 1.79% LREN3 14.29 ▲ 0.99% VIVT3 35.57 ▲ 2.42% RAIL3 14.12 ▲ 0.07% KLABIN 17.47 ▼ 0.06% RAIA DROGASIL 18.47 ▲ 1.48% RDOR3 36.12 ▲ 1.57% HAPV3 11.09 ▲ 6.02% FLRY3 16.48 ▲ 2.04% SMTO3 16.20 ▼ 1.04% UGPA3 30.09 ▼ 2.72% VBBR3 33.22 ▲ 1.40% BBSE3 40.31 ▲ 0.07% BPAC11 58.00 ▲ 0.83% CURY3 33.76 ▲ 1.93% AERI3 2.06 ▼ 0.96% VIVARA 23.48 ▲ 1.60% COMPASS 25.24 ▲ 1.90% VAMOS 3.12 ▲ 3.31% SANB11 27.40 ▲ 0.11% ASAI3 8.70 ▼ 0.11% SBSP3 30.36 ▼ 0.03% WALMEX 49.36 ▼ 0.58% GMEXICO 201.31 ▲ 2.92% FEMSA 232.29 ▲ 3.08% CEMEX 22.14 ▲ 1.65% GFNORTE 186.84 ▲ 2.62% BIMBO 56.37 ▲ 0.89% TELEVISA 9.52 ▼ 0.94% AMX 22.96 ▲ 1.64% GAP 394.20 ▼ 3.43% ASUR 277.85 ▼ 0.29% OMA 235.93 ▲ 1.12% KOF 180.40 ▼ 0.70% GRUMA 280.18 ▼ 0.42% KIMBER 38.54 ▲ 0.84% SQM-B 67,412 ▲ 0.30% COPEC 6,140 ▲ 1.37% BSANTANDER 78.77 ▲ 0.73% FALABELLA 5,914 ▲ 0.15% ENELAM 85.18 ▲ 1.16% CENCOSUD 2,050 ▲ 0.50% CMPC 1,087 ▲ 0.80% BANCO CHILE 188.19 ▲ 1.72% LATAM AIR 24.67 ▼ 0.92% YPF 77,400 ▲ 0.29% GGAL 7,910 ▼ 2.10% PAMPA 5,205 ▼ 0.38% TXAR 662.00 ▼ 0.38% ALUAR 950.00 ▼ 1.50% TGS 9,680 ▲ 1.15% CEPU 2,302 ▼ 0.73% MIRGOR 16,750 ▼ 1.47% COME 45.35 ▲ 1.27% LOMA NEGRA 3,513 ▲ 0.43% BYMA 301.75 ▼ 2.11% TELECOM ARG 4,310 ▲ 1.41% ECOPETROL 16.02 ▲ 0.88% BANCOLOMBIA 81.58 ▲ 1.44% GRUPO AVAL 4.92 ▲ 0.20% CREDICORP 391.68 ▲ 0.63% SOUTHERN COPPER 181.42 ▲ 3.95% BUENAVENTURA 30.75 ▲ 3.10% MERCADOLIBRE 1,856 ▼ 0.60% NUBANK 13.89 ▲ 1.57% XP 16.79 ▲ 2.54% PAGSEGURO 9.20 ▼ 0.92% STONE 11.18 ▲ 0.27% GLOBANT 31.19 ▼ 2.90% TECNOGLASS 43.85 ▲ 2.36% GAP AIRPORT 226.29 ▼ 2.78% ASUR 277.85 ▼ 0.29% OMA AIRPORT 108.15 ▲ 1.90% AMX ADR 26.27 ▲ 0.90% FEMSA ADR 133.41 ▲ 3.41% CEMEX ADR 12.72 ▲ 2.13% PETROBRAS ADR 17.94 ▲ 0.31% VALE ADR 14.58 ▲ 2.82% ITAU ADR 8.56 ▲ 1.00% SANTANDER BR 5.41 ▲ 1.12% AMBEV ADR 3.09 ▲ 0.98% CSN 1.03 ▼ 0.49% GERDAU 4.59 ▲ 2.23% LATAM ADR 53.28 ▼ 0.09% BTC 64,579 ▲ 3.76% ETH 1,878 ▲ 5.89% SOL 77.38 ▲ 3.36% XRP 1.12 ▲ 5.03% BNB 581.01 ▲ 2.54% ADA 0.16 ▲ 4.11% DOGE 0.07 ▲ 3.51% AVAX 6.67 ▲ 3.50% LINK 8.28 ▲ 5.17% DOT 0.85 ▲ 1.49% LTC 44.98 ▲ 3.43% BCH 237.01 ▲ 0.33% TRX 0.33 ▲ 0.33% XLM 0.19 ▲ 2.81% HBAR 0.07 ▲ 0.11% NEAR 2.02 ▲ 5.44% ATOM 1.56 ▲ 1.50% AAVE 98.90 ▲ 4.81% SELIC 14.25% EMBRAER 82.90 ▼ 0.13% EMBRAER ADR 65.40 ▲ 1.42% JBS 11.87 ▲ 0.59% JBS BDR 60.15 ▼ 0.76% MBRF3 16.17 ▲ 2.86% MBRFY 3.11 ▲ 1.97% INTER 5.67 ▲ 0.27% EGX 52,299 ▼ 0.59% USD/ZAR 16.38 ▼ 0.50% USD/NGN 1,381 ▲ 0.20% NIKKEI 67,744 ▲ 0.74% CSI300 4,797 ▲ 2.15% HSI 24,341 ▲ 0.52% NIFTY 24,052 ▼ 0.66% KOSPI 6,857 ▲ 0.73% JCI 6,040 ▲ 0.03% USD/JPY 162.17 ▼ 0.16% USD/CNY 6.7624 ▼ 0.13% DAX 25,147 ▲ 0.13% CAC 8,367 ▲ 0.03% FTSE 10,529 ▲ 0.30% MIB 52,863 ▲ 0.10% IBEX 19,357 ▲ 0.11% STOXX 642.10 ▲ 0.17% EUR/USD 1.1429 ▲ 0.37% GBP/USD 1.3383 ▲ 0.25% SPX 7,546 ▲ 0.40% DJI 52,513 ▲ 0.03% NDX 29,594 ▲ 1.13% RUT 2,964 ▲ 0.36% TSX 35,316 ▲ 0.18% VIX 16.42 ▼ 4.31% USD/CAD 1.4066 ▼ 0.61% US10Y 4.5890 ▼ 0.43%
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Opinion: Brazil’s Institutional Internecine Wars

By · December 9, 2016 · 3 min read

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Opinion, by Michael Royster

RIO DE JANEIRO, BRAZIL – The institutional foundations of Brazil are under attack from each other, and from within.

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Michael Royster, aka The Curmudgeon.
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The President and his economic team have been running pitched battles with the so-called “Centrão”, where the corrupt minnow parties in Congress want a larger share of governmental spoils before they will vote in favor of much-needed reforms. The President hurts himself by appointing well-known, well-heeled wheeler-dealers as ministers, characters who are familiar with the smoke-filled back rooms where crooked lobbyists go to play.

The Chamber of Deputies ousted Eduardo Cunha, but under the leadership (if you can call it that) of his successor Rodrigo Maia, it has been paralyzed and is unable to do anything at all. The Senate is under the thumb of Renan Calheiros, a veteran of scandals involving corruption, with no fewer than eleven cases pending against him. He was elected by his peers precisely because he knows how, where and when to dole out favors.

Senator Calheiros even seems to have put Brazil’s Supreme Court (STF) under his thumb, with the help of current President Temer and past Presidents Sarney and Cardoso. He thumbed his nose at an order to resign the Presidency of the Senate. The STF’s response to this was effectively, ‘no problem, not to worry, after all you’re above the law’.

The STF, feeling its oats, has recently ventured into the political thicket with matters outside of Lava-Jato, with predictably angry reactions from Congress. One recent decision decriminalized abortion during the first 3 months of gestation; Congress is now working on a constitutional amendment to overturn the decision. Another recent STF decision criminalized the “vaquejadas” beloved of people and politicians in Brazil’s Northeast, so Congress passed a law declaring them “national cultural patrimony”, hence deserving of constitutional protection.

The Public Ministry sent Congress a list of ten measures it wanted enacted so as to make fighting corruption easier. The Chamber of Deputies, home to three hundred crooks, simply eviscerated the proposal, and in retaliation added an article to the law permitting the jailing of judges and prosecutors if they were over-zealous.

In short, the executive, legislative and (alas!) judicial branches of Brazil’s government have, within the past couple of weeks, covered themselves with shame, and have completely lost the respect of the Brazilian people.

This is a serious and potentially dangerous situation. More and more frequently, calls are made for the military to intervene and take over power from the corrupt, inept civilians now ruining the country.

Fortunately for Brazil, its armed forces are still wedded to the concept of democracy. But if the civilian institutions continue their internecine warfare, while the country’s economy dives into an even deeper tank, the unthinkable may happen.

The Curmudgeon, who lived in Brazil during the worst years of the military dictatorship (1968-1971) knows the evil that was then done, in the name of “protecting” Brazil from its civilian governmental institutions. He is beginning to be a bit frightened of the evils 2017 will bring.

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