Good morning! As the price of gas keeps on rising in Brazil, lawmakers will demand answers from Petrobras. Brazil is not out of the woods yet on 5G. High fuel costs becoming a roadblock for ride-hailing apps. The strategy of Brazil’s Prosecutor General.
Petrobras CEO to be grilled on fuel prices
This morning, Petrobras CEO Joaquim Silva e Luna will appear before the House floor to explain why fuel prices have climbed so much in recent months.
- “Everything’s expensive: gasoline, diesel, kitchen gas. What does Petrobras have to do with that? [Tuesday] at 9 am the floor will question how the company’s prices weigh on us all,” wrote House Speaker Arthur Lira on Twitter. “Petrobras must be reminded that Brazilians are its shareholders.”
Fuels. Since 2016, Petrobras’s pricing policy is pegged to international oil prices. Brent oil futures have spiked 45 percent in 2021 alone. Fuels in Brazil have risen less — average gasoline prices went up 33 percent this year, and diesel got 27 percent more expensive, on average.
Why it matters. Depending on what is said during the House sitting, markets could be in for a rocky day — especially if investors fear some form of government intervention in...