The international relief and negative inflation in August in Brazil made the financial market have a day of optimism this Friday (9). The dollar dropped below R$5.15 and closed the week down. Influenced by the recovery of commodities (primary goods with international quotation), the stock market rose more than 2% and closed at the highest level in 10 days.
The commercial dollar ended Friday sold at R$5.148, down R$0.059 (-1.13%). The price opened close to stability, but started to fall after the opening of North American markets.
With today’s performance, the US currency is at its lowest level since August 30, when it closed at R$5.11. The currency closed the week with a drop of 0.78%, after reaching R$ 5.23 last Tuesday (6). In 2022, the dollar accumulates a decline of 7.67%.
In the stock market, the day was marked by truce. The Ibovespa index closed at 112,300 points, up 2.17%. The indicator is up 1.3% on the week and is at its highest level since Aug. 29.
In the United States, there was an adjustment in expectations that reduced the yields on US Treasury bonds and pushed down the dollar rate across the planet. Some investors took advantage of the currency’s recent highs to sell dollars and pocket gains, which benefited emerging market currencies.
In China, the disclosure that inflation slowed in August improved the price of commodities because investors understand that the Asian country has gained more space to stimulate the economy. The prices of iron ore and oil rose sharply, benefiting the shares of oil companies and mining companies.
Regarding internal factors, the disclosure that the Official inflation hit -0.36% in August encouraged investors. The indicator was within expectations and reduced pressures for the Brazilian Central Bank to raise the Selic rate (basic interest rates for the economy) at the next meeting, in two weeks’ time. Lower interest rates encourage investors to migrate to the stock market and bring gains to retailers’ shares.
*With information from Reuters
