During the month, three “climatic conditions” characterized the economic environment.
During April, upward pressure and volatility in the prices of some commodities was high. There was a series of attacks between Israel and Iran, intensifying global fears that the war in the Middle East would escalate. These generated significant upward pressure on oil prices (about a third of production is in the Middle East) and gold (due to demand for safe assets). This pressure eased towards the end of the month, as escalation concerns moderated.
Head of Research
During the 2Q2024, economic growth was driven by the rebound of primary sectors, such as traditional agriculture and fishing, and by higher public spending, supported by an estimated increase of 11% in public wages and 16% in public investment, adjusting for inflation.
During the month of August, attention was focused on the dynamics within Congress. In view of the election of the Board of Directors and the recomposition of the ordinary commissions, numerous movements were recorded in the benches.
Although the implicit alliance between the Executive and the Legislative remains in force, in recent months we have seen a progressive weakening of the Executive.
