Brazil inflation, COP drop, Venezuela’s restructuring

The latest macro data keep the door open to monetary easing in Brazil, but a rise in energy prices or an escalation of the scandal involving presidential candidate Flávio Bolsonaro that weighs more heavily on the real might give Copom cause to pause in June. Elsewhere, Colombia’s financial markets have underperformed amid concerns about victory for left-wing Ivan Cepeda in the presidential election at the end of this month. We’ll be online on Wednesday 27th May at 10:00 ET/15:00 BST to answer your questions on the election. (Register here.) Finally, the announcement that Venezuela’s government will begin a debt restructuring is another step in its international rapprochement. But large haircuts will be needed to restore debt sustainability.