Gol Linhas Aereas Inteligentes SA (GOLL4), Brazil’s second-largest airline, rose the most in eight months on speculation the government may cut taxes to help the industry.
Gol gained 11 percent to 11.38 reais at the close in Sao Paulo, the steepest one-day advance since Aug. 9. It was the best performer on the benchmark Bovespa index, which rose 1.2 percent.
Brazil’s government may cut the payroll and aircraft fuel taxes to boost airlines’ competitiveness, Sao Paulo-based newspaper Valor Economico reported, without saying where it got the information.
“Those are the main costs for airlines,” Leonardo Nitta, an analyst at Banco do Brasil SA (BBAS3), said by telephone today. “A reduction of those costs would certainly be positive for the airlines.”
The Finance Ministry declined to comment on Valor’s report in an e-mailed statement.
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