After President Jair Bolsonaro has Angela Merkel reforested Germany, the European embassy in Brazil publishes a video in which it says Germany is one of the largest densely forested countries in Europe, with 1/3 of its national area covered by forests

The German government's response to the attacks by President Jair Bolsonaro over the European country's cancellation of money sent to the Amazon Fund, aimed at protecting the Amazon rainforest, has had many repercussions in the Brazilian media.

The largest media channels in the country showed the video in the newspapers of yesterday and today. For many analysts, propaganda was a class of diplomacy for the rudeness practiced by the Brazilian president.

This week Bolsonaro stated that Brazil “did not need German money” and stated: “I even wanted to send a message to dear Angela Merkel, who suspended $ 80 million for the Amazon. Take this money and reforest Germany, okay? There it needs much more than here.”

Norway, which also decided to cancel sending money because of the current Brazilian government policy, was also criticized by Bolsonaro.

During an interview, the Brazilian president said that "Norway is not the one that kills whales up there at the North Pole, is it? It also exploits oil there? It has nothing to offer us. It takes the money and helps [chancellor] German] Angela Merkel reforesting Germany ".

Environmentalists, scientists, and expert journalists say that the destruction of the Amazon has been increasing under the Bolsonaro government and that current environmental policies run counter to environmental guidelines.

Yesterday, after a very bad day in the Brazilian financial market, Bovespa (B3) starts today with a strong position adjustment movement; Goldman Sachs sees Brazil as a more "defensive" market

International financial markets yesterday showed strong turmoil in the face of the biggest fears of a global recession, after weak economic data in Germany and China mainly. This also happened in Brazil.

The Ibovespa, the main index of the Brazilian stock exchange, was affected: it fell by 2.94% to 100,258.01 points. The high of the US currency is the largest since March 27, reaching R$ 4.

Among the main casualties, Petrobras (BOV: PETR4) and Vale (BOV: VALE3) retreated above 2%. Kroton (BOV: KROT3) led declines by over 7% after the company's quarterly results were below expectations, according to Reuters.

Brazil should already be at the rate of stronger economic growth in order to face this scenario of a possible global recession. In fact, Brazilian families are not consuming because unemployment has risen. In addition, debt levels in Brazil are very high.

Despite these and several other negative indications about the Brazilian economy, Goldman Sachs said in a report that the bank is "more optimistic about the Brazilian stock market, followed by local exchange and interest rates and a little less positive about sovereign credit". 

After assessing the performance of Brazilian assets in recent weeks, which were particularly bad for emerging markets, Goldman Sachs assessed that Brazil is becoming a more “defensive” market. 

According to the bank, the contagion of the crisis in Argentina occurs more to a lesser degree, as a result of which Goldman Sachs believes that Brazil, which has resisted a scenario of slower global growth and problems in Argentina, should present assets with better performance than the other than your peers.

Brazil sells 10 million bags of coffee in the first quarter of 2019

Brazil sold 10 million 60kg bags of coffee in the first quarter of 2019. The United States and Germany are the largest importers of Brazilian coffee. In the first quarter of 2019, the US imported 18.2% of the 10 million 60kg bags of coffee exported by Brazil in the first quarter of 2019. Germany was responsible for the purchase of 17.2% of the total of 10 million 60kg bags.

Italy, Japan, Belgium, Turkey, UK, Russia, and France are other major buyers of Brazilian coffee. However, China was where Brazilian coffee exports grew the most. The advance of coffee drinking in place of tea, especially among the younger population, is making China the newest promising market for Brazilian grain exports. In 2018, sales of green coffee from Brazil to China more than doubled.

This is a problem now because Jair Bolsonaro talked tough on China during his presidential campaign. For him, China, the largest trading partner of Brazil, acts as a predator, not a partner. This could greatly undermine the growth in commodity sales such as coffee, soybeans and iron ore to the Chinese. If the current government does not create a climate of commercial war with China, which would be very damaging to the Brazilian economy, coffee exports should continue to grow.

Brazilian coffee exports grew by 15% in 2018. Many experts believe that Brazilian coffee exports should continue to grow in 2019.