On a day marked by protests in China and the beginning of the Proposal for Amendment to the Constitution (PEC) of the Transition in the Senate, the dollar fell to less than R$ 5.30, reaching the lowest level in 20 days. The stock market rose by almost 2% and approached 111 thousand points.
The commercial dollar ended this Tuesday (29) sold at R$ 5.288, down R$ 0.079 (-1.46%). The price operated downwards throughout the session, closing close to the lows of the day.
The US currency reached the lowest level since November 9 (R$ 5.18). The currency accumulates an increase of 2.36% in November and drops 5.16% in 2022.
The stock market also had a recovery day. The B3 Ibovespa index closed at 110,910 points, up 1.96%. The indicator was driven by shares of mining, oil and steel companies, which reflected the expectation that the Chinese government may ease the zero tolerance policy against covid-19 after the protests that took over the country’s main cities.
The news from China mainly benefited exporting countries of commodities (primary goods with international quotation), such as Brazil. This is because an eventual relaxation of social restrictions in the Asian country would help to increase the consumption of raw materials in the second largest economy on the planet.
The financial market also reacted to the beginning of the PEC of the Transition in the Senate, which today reached the minimum 28 signatures to start being appreciated by the Constitution and Justice Committee of the House. The current text provides for the exclusion of up to R$ 198 billion from the spending ceiling on a permanent basis, but the PT announced its willingness to negotiate the amount and extent of the withdrawal, which increased the expectation that the impact will be smaller than initially request.
*With information from Reuters
