The instability in the international market interrupted the truce in the exchange and made the dollar reach the highest level in a month. The stock market dropped more than 2%, with the possibility of a rise in interest rates in Brazil and a fall in the price of commodities (primary goods with international quotation).
The commercial dollar ended Tuesday (6) sold at R$5.238, up by R$0.084 (+1.63%). The price operated on a high throughout the session, reaching R$ 5.25 at the highest of the day, around 2 pm. The US currency is at its highest level since August 3, when it closed at R$5.27. In 2022, the currency accumulates a fall of 6.06%.
The stock market also had a turbulent day. The B3 Ibovespa index closed at 109,764 points, down 2.17%. The indicator nullified the gains of the last few days, influenced by a change in signals from the Central Bank (BC).
Statements yesterday (5th) evening by BC President Roberto Campos Neto and the institution’s Monetary Policy director, Bruno Serra, indicated that the institution is studying a possible increase of 0.25 percentage point in the Selic rate (basic interest ) at the meeting on 20 and 21 September. Higher interest rates discourage investments in the stock market because they make investments in fixed income, such as government bonds, more attractive.
According to the Focus bulletin, a weekly survey of financial institutions released by the BC, most financial institutions believed that the Selic rate would end 2022 at 13.75% per year. Basic interest rates have been at that level since the beginning of August.
In the foreign market, the dollar rose all over the world with the increase in yields on US Treasury bonds, which reached their highest levels since June. On the return of the Labor Day holiday in the United States, bets increased that the Federal Reserve (Fed, US Central Bank) will raise interest rates by 0.75 percentage point at the end of the month.
Higher rates in advanced economies encourage capital flight from emerging countries such as Brazil. The decline in the international price of commodities brought tensions to the financial market, putting pressure mainly on mining and oil companies. A barrel of Brent oil closed at US$ 92, down 3%, even after the Organization of Petroleum Exporting Countries (OPEC) announced a drop in production.
*With information from Reuters
