Home South AmericaBrasil Dollar drops to R$5.11, even on a day of protests

Dollar drops to R$5.11, even on a day of protests

by Editor
0 comment
Dollar slows down and closes at R$ 5.57 after PEC discussion is postponed

The wave of road blocks did not affect the financial market. The dollar fell for the second day in a row and closed at a 40-day low. The stock market rallied and hit the highest level in ten days.

The commercial dollar closed this Tuesday (1st) sold at R$ 5.114, with a fall of R$ 0.047 (-0.92%). The price even rose to R$5.19 around 11 am, reflecting the release of employment data in the US economy, but started to fall during the afternoon with the entry of foreign flows.

The US currency reached its lowest value since September 22, when it closed at R$5,114. The currency accumulates a fall of 8.29%.

The stock market started the day with volatility, but then bounced back. The B3 Ibovespa index closed at 116,929 points, up 0.77%. The indicator reached the highest level since the 21st, pulled by shares of mining companies, electric companies and oil companies.

In the morning, the announcement that the US economy created more jobs than expected in October brought tensions to the international market. Despite the industry having reached the lowest growth in two and a half years, the good performance of the labor market reinforces the expectation that the Federal Reserve (Fed, North American Central Bank) will raise basic interest rates by 0.75 percentage point in meeting tomorrow (2).

Even with the external instabilities, the internal scenario contributed to the fall of the dollar and the rise of the stock market in Brazil. Investors reacted well to the announcement that the vice president-elect, Geraldo Alckmin, will coordinate the transition work for the future government. At the end of the afternoon, the confirmation by the Chief Minister of the Civil House, Ciro Nogueira, that President Jair Bolsonaro authorized the start of the exchange of information brought further relief to the negotiations.

*With information from Reuters

Source link

You may also like

All the news from Latin America for English speakers

Latest Articles