Benefiting from the flow of funds to emerging countries, the dollar approached R$ 5.30 and closed today (31) at the lowest value in four months. The Stock Exchange had a small rise, but ended January with the biggest gain in more than a year.
The commercial dollar closed this Monday sold at R$ 5.306, with a decrease of R$ 0.084 (-1.56%). The price opened close to stability, but collapsed after the opening of the North American market. At the lowest of the day, around 1:15 pm, it reached R$ 5.28.
The US currency is at its lowest value since September 22 of last year, when it was at R$5,304. With today’s performance, the currency ended January with a decline of 4.84%. That was the biggest monthly gain since November 2020.
On January 5, the dollar was sold at R$ 5.71, in a moment of nervousness in the global financial market. Since then, the price has dropped 7.11%.
The stock market also had a quiet day. The Ibovespa index, of the B3 (Stock Exchange), recovered part of the losses of Friday (28) and closed the day at 112,144 points, with a gain of 0.21%. The stock market ended January up 6.98%, the best monthly performance since December 2020, when it had risen 9.3%.
Fees
Despite the expectation that the Federal Reserve (Fed, US Central Bank) will increase interest rates as of March, the understanding has prevailed that the effects of the rise for emerging countries are priced (incorporated into asset prices).
Traditionally, high interest rates in advanced economies encourage an outflow of funds from emerging markets, but some investors have understood that developing country equities and currencies have become very cheap in recent months.
* With information from Reuters
