The M&A tip and rumor sheet Relatório Reservado leads with a funny, untranslatable pun on the the topic of the day: the naming of an economic team for the new Brazilian government.
Henrique Meirelles believes that whether he leaves the presidency of Central Bank or not, he will hang around as a sort of consultant on monetary policy to the new Brazilian president. A sort of BCdoB.
The PCdoB is the Communist Party of Brazil — not be confused with the PCB, the extinct Brazilian Communist Party, which eventually morphed into the PPS, a member of the opposition alliance in this year’s elections.
People’s Front of Judea.
Judean Popular Front.
There must be some Monty Python fans out there.
Meirelles, a former top exec at Bank Boston Brasil, Bank Boston, and FleetBoston Global and Wholesale, was an orthodox Brazilian Greenspan whose caution on interest rate policy was politically unpopular with some members of the ruling coalition, who wanted rapid interest rate cuts to stimulate the consumption of credit. e
He and the Treasury minister, Guido Mantega, had an ongoing low-intensity war of words on the subject, but a pledge to honor the independence of the Central Bank was kept.
Meirelles explored, then dropped, a run for governor of Goias for the PMDB last year.
The notion of a central banker — especially a central banker viewed as “beyond politics” — getting into electoral politics unnerved me a little. It may have unnerved the powers that be as well.
The “dirty blog” Brasil Confidencial — singled out for the insult by the opposition candidate this year at a time when the campaign sought to portray itself as the victim of filthy and mendacious Internet culture hacking — names Alexandre Tombini as a likely replacement for Meirelles.
Tombini, according to the daily newsletter, is a career central bank official who enjoys good relations with the World Bank and IMF and is viewed favorably by the financial markets. His appointment might be viewed as a strong promise of continuity, the dirty blog says.
A quick scan of the Google News turns up lots of favorable noises from captains of finance regarding Tombini.
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