With the help of the international market and high interest rates in Brazil, the dollar fell and returned to close to R$4.60. The stock market had a more tense day and retreated for the fourth consecutive session.
The commercial dollar ended this Wednesday (20) sold at R$ 4.62, with a fall of R$ 0.048 (-1.02%). The price even rose during the morning, but reversed the movement and began to plummet after the opening of negotiations in the North American market.
The US currency is at its lowest level since April 4, when it closed at R$4.608. With today’s performance, the dollar accumulates a fall of 2.96% in April. In 2022, the currency declines 17.14%.
In the stock market, the day was marked by losses. The B3 Ibovespa index closed at 114,344 points, down 0.62%. The indicator was pressured by shares of steel and mining companies, which fell again due to the slowdown in the Chinese economy caused by the tightening of measures of lockdown in the Asian country.
Against the dollar, two factors contributed to the pullback after yesterday’s high. Global demand for the currency eased today, with investors more likely to invest in emerging markets. The second factor was the high interest rates in Brazil. The Selic rate (basic interest rates in the economy) is at 11.75% per year, the highest level since 2017.
With the persistence of high inflation, the expectation is that the Brazilian Central Bank will promote another high in June, which was originally not foreseen. Higher rates in Brazil help to stop the flight of dollars in times of stress in the financial market.
* With information from Reuters
