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Petrobras shares fall after Bolsonaro fires its boss

AFP

The price of shares in Brazil’s state oil giant Petrobras fell Tuesday in reaction to President Jair Bolsonaro firing its boss after only 40 days on the job.

Bolsonaro dismissed Petrobras CEO Jose Mauro Coelho on Monday in a tug-of-war over rising fuel prices, which are set by Petrobras but tied to international market movement.

Petrobras shares lost more than four percent in afternoon trade on the Sao Paulo Stock Exchange, before recovering somewhat to 2.85 percent lower than Monday’s worth.

The movement reflects investor concerns of a possible intervention by the State, the main shareholder in Petrobras, in its autonomous pricing decisions.

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Coelho took over last month for what should have been a one-year term. He became the company’s third CEO in just over a year after Bolsonaro also fired his predecessors. 

Fuel prices in Brazil have risen more than 33 percent in the past year, according to official figures, driving annual inflation of more than 12 percent and hurting Brazilians’ wallets in an election year.

The far-right Bolsonaro trails leftist ex-president Luiz Inacio Lula da Silva in opinion polls ahead of elections in October.

Brazil’s Ministry of Mines and Energy announced Coelho’s dismissal, saying the country was “experiencing a challenging moment, due to the effects of the extreme volatility of hydrocarbons in international markets.”

The government has proposed for Coelho to be replaced by Caio Mario Paes de Andrade, an official in the Economy Ministry.

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He must be confirmed by the company’s board of directors.

Earlier this month, Bolsonaro also replaced his longtime energy minister, Bento Albuquerque, days after Petrobras reported record quarterly profits.

Bolsonaro said those profits amounted to “rape,” and called on Albuquerque and Coelho to stop Petrobras from raising prices.

Petrobras went on to hike diesel prices by an additional 8.9 percent.

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International

Singer seriously injured after knife attack in Tokyo’s Akasaka District

A woman in her forties was stabbed on Sunday by a man in Tokyo’s busy Akasaka district, leaving her with serious injuries, according to local media reports.

At around 10:25 a.m. (local time), police received an emergency call reporting that a woman was bleeding after being attacked with a knife by a man wearing a black hood in the basement of a building in Akasaka, police sources told Kyodo News.
The woman sustained severe injuries to her abdomen and hand but was conscious when she was transported to a hospital, Tokyo Metropolitan Police said, adding that the suspected assailant fled the scene with what appeared to be a knife.

The victim, believed to be a singer, was reportedly attacked while waiting alone outside a live music club where she was scheduled to perform.

Police stated that they are searching for the suspect and noted that the woman did not know him.

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International

Ombudsman confirms deaths of six minors in bombing targeting FARC dissidents

Colombia’s Ombudsman’s Office reported on Saturday the deaths of six minors who had been recruited by guerrilla groups, killed during the deadliest airstrike ordered by President Gustavo Petro in an Amazonian region in the south of the country.

Amid pre-election criticism and pressure from the United States demanding stronger action against drug trafficking, Petro has intensified military operations against armed groups. Over the past week, a series of bombings have left 28 people dead.
The minors were killed in an airstrike announced on Tuesday against a camp belonging to dissident factions of the now-defunct FARC guerrilla in the department of Guaviare, resulting in 19 deaths—the largest operation of its kind under Petro’s administration.

“This is all deeply regrettable; it is war in its most painful and inhumane expression, harming the most vulnerable—minors recruited due to lack of protection and now turned into military targets,” said Ombudswoman Iris Marín in an audio message sent to the press, confirming the deaths of six minors without providing their ages.

Marín held the guerrilla group led by the country’s most-wanted man, alias Iván Mordisco, responsible for recruiting the children.
However, she also stressed that “the military forces must take every feasible precaution to protect children,” in accordance with international principles that require “careful evaluation of the means and methods of warfare to avoid disproportionate or unnecessary harm.”

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International

Colombia reaches $4.5 billion deal to acquire 17 Gripen Fighter Jets from Saab

The Colombian government has finalized a negotiation agreement with the Swedish company Saab for the purchase of 17 SAP-39 Gripen fighter jets, valued at more than $4.5 billion, according to local media reports.

Colombian outlets indicated that payments are scheduled to begin in 2026, starting with an initial installment of 100 billion Colombian pesos. However, the aircraft will be delivered between 2027 and 2032, when the final jet is expected to arrive in Colombia.

This new contract represents the second-largest public purchase made by Colombia so far this century, surpassed only by the investment in the Bogotá metro system, local media noted.

The agreement is expected to be officially signed during the ceremony commemorating the 216th anniversary of the Colombian Aerospace Force, to be held in Cali on November 14 of this year.

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