Industry confidence in Brazil should show recovery in June, says FGV

Industry confidence in Brazil is likely to show a strong recovery in June, recording the largest positive monthly change in the series after an improvement in entrepreneurs' perceptions of the current situation and over the coming months.
The Getulio Vargas Foundation reported on Monday that the preview of the Industry Survey signals that the Industry Confidence Index (ICI) is expected to increase 15.2 points from the previous month in June, to 76.6 points. If the result is confirmed, this will be the largest positive monthly change ever recorded. "The advance in confidence in June is the result of improved business valuation in relation to the present and, especially, for the next three and six months," FGV said in a statement.
The Expectations Index -- which shows entrepreneurs' perception of the future of the industry -- is expected to jump 20.6 points to 75.5 points, recovering in the last two months more than half of the drop seen in April. The Current Situation Index is expected to show a recovery of 9.2 points to 77.8 points, equivalent to one-third of April's loss.
The improvement in the feeling of entrepreneurs in relation to the industry occurs amid the relaxation of quarantine measures in important economic centers of Brazil, such as several cities in the State of São Paulo.