Congressional Election, Vale and Results: Everything You Need to Follow This Week in the Market

SÃO PAULO – Week begins with the news and the market echoing the tragedy of Brumadinho (MG), where a tailings dam Vale (VALE3) erupted Friday afternoon (25) , leaving a trail of environmental destruction and dozens of deaths.

The break occurred during the São Paulo holiday, when B3 was closed, and resulted in a drop of about 8% in the American Depositary Receipts (ADR) of the company, which represents 20 ADR for Titans from Brazil. traded on the NYSE, was virtually stable. Find out what to expect for Vale and Ibovespa shares on Monday.

The market also examines the government's next steps a few days before the return of parliamentary recess and elections to the Chamber of Deputies and the Senate. In addition, investors are also following the first meeting of the FOMC in 2019, which should spark the interest of the stock markets with signs of US interest policy.

In politics, special attention must be paid to articulations before the congressional election, scheduled for Friday (1). Until now, the favorites are the deputy Rodrigo Maia (DEM-RJ), candidate for re-election, and Senator Renan Calheiros (MDB-AL). In the Senate, however, the race has warmed in recent days with the announcement of Simone Tebet's candidacy (MDB-MS).

In addition, attention will be focused on the new surgical procedure that President Jair Bolsonaro will undergo. Monday (28), for the removal of the colostomy bag at Albert Einstein Hospital. A special office will be established at the hospital so that the president can perform his work during the estimated 10 days in hospital stay.

In the agenda of the indicators, the calendar will be filled. In the second case, the Central Bank divulges the external sector data and, the next day, the credit figures, both of December. Also Tuesday, the Treasury will release the budget data.

The Continuous Pnad unemployment rate continues in January, which, according to GO Associados forecasts, should be 11.5%. Finally, the agenda also has industrial production in December, which should record a slight decrease of 0.2% over the period and a drop of 4.5% over the year, according to the GO.

Finally, on the agenda (CIB3), Santander (SANB11) and Bradesco (BBDC4).

The season of results begins to intensify, three large companies presenting their financial statements for the fourth quarter: External Agenda
In the external calendar in Brazil, the first meeting of the Fomc of 2019, Wednesday (30), is expected to maintain basic interest rates. Also in the United States, GO Associados highlights the November trade balance, December durable goods orders and retail sales releases on Monday.

The same day Fomc publishes its (Gross Domestic Product) for the last quarter of 2018
and the change in private jobs, known as the ADP report, in January.

In Europe, special attention is paid to Plan B on the Brexit (leaving the United Kingdom of the European Union) in the British Parliament. The government is running out of time to try to reach an agreement and prevent a "Brexit without agreement" from happening on March 29, which could lead to chaos in border services and relations with European bloc countries [19659004] , in China, Tuesday (29) will be released the industrial and non-industrial PMI of NBS for January. The PMI Industrial (Caixin) of the same month will leave on Thursday (31), while on Saturday (2), the PMI surveys of compounds and services (Caixin)

are published ] and check the program complete set of indicators.