The dollar fell against the real in the first negotiations on Tuesday (23), intensifying a movement seen in the final part of the previous session that had as its motto the recovery of commodities amid prospects that China will maintain strong demand for these inputs.
At 9:08 am (GMT), the spot dollar retreated 0.52%, at R$ 5.1374 on sale. On B3, at 9:08 am (GMT), the first-maturity dollar futures contract dropped 0.40% to R$5.1515.
Prices for iron ore – one of Brazil’s main exports – and steel in China rose on Tuesday, as the Chinese government’s latest loan rate cut boosted market sentiment, while demand seemed intended to improve before the high season for construction.
In addition, the long heat wave and drought in the Asian giant pose a “serious threat” to the country’s autumn crops, which could drive Beijing to buy from exporting countries such as Brazil.
This Monday (22), the real resisted the global appreciation of the dollar. The American currency closed the session down 0.07%, quoted at R$ 5.1640.
The market’s focus continued on the monetary policy of the United States, with the growing expectation of a new aggressive increase in interest rates to face the historic inflation in the country.
On this week’s agenda, the main event for global finance will be the pronouncement, on Friday (26), of Fed Chairman Jerome Powell.
He will attend the annual conference of central banks in Jackson Hole, Wyoming (USA). The symposium usually gives the guidelines of world monetary policy.
If Powell makes an overt speech in favor of a tight credit crunch, equity markets and even emerging-market fixed income could suffer losses as investors migrate to the US Treasury.
On the Brazilian Stock Exchange, the Ibovespa index dropped 0.89%, to 110,500 points. Domestic pessimism reflected the environment abroad. In New York, the benchmark indicator of the Exchange, the S&P 500, lost 2.14%.
In Europe, the gas crisis pushed the euro back below par against the dollar. The European common currency ended the day at $0.99.
European stocks also fell, with an emphasis on the 2.32% falls in Frankfurt and 1.80% in Paris.
with Reuters
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