The fall in inflation in the United States (USA) caused a wave of relief in the global financial market. The dollar closed below R$5.10 for the first time in eight weeks. The stock exchange amended its seventh consecutive high and recovered 110 thousand points.
The commercial dollar ended this Wednesday (10) sold at R$ 5.085, with a decrease of R$ 0.045 (-0.87%). The currency even dropped to BRL 5.03 shortly before 10 am, but the fall lost strength as investors took advantage of the low price to buy dollars.
The currency is at its lowest value since June 15, when it was at R$ 5.02. With today’s performance, the dollar accumulates a fall of 1.72% in August. In 2022, the decline reaches 8.8%.
In the stock market, the day was also marked by euphoria. The B3 Ibovespa index closed at 110,236 points, up 1.46%. The indicator is at the highest level since June 7. In addition to the relief in the international financial market, the disclosure of balance sheets of companies, which had profits in line with or above expectations, boosted the Brazilian stock market.
The disclosure that consumer inflation in the United States stood at 0% in July and reached 8.5% in the 12-month period relieved the pressures of recent weeks on the global market. That’s because the price deceleration reduces pressures for the Federal Reserve (Fed, US Central Bank) to raise US policy rates by 0.75 at the next meeting, favoring bets of a 0.5 point increase.
Higher rates in advanced economies encourage capital flight from emerging countries such as Brazil. If U.S. inflation continues to slow, it raises the possibility that the Fed will start cutting rates in mid-2023.
* With information from Reuters
