Dollar walks to close the first week of the year on a high

The dollar opened with little variation against the real this Friday (6), but was on the way to close the first week of negotiations under the government of Luiz Inácio Lula da Silva (PT) on a high, with investors still cautious about the president’s economic and fiscal agenda.

The focus of this session should remain on a ministerial meeting with Lula and on employment data from the United States.

At 9:14 am (Brasília time), the spot dollar advanced 0.08%, to R$ 5.3572 in the sale.

The day before, the dollar fell and the stock market rose with the expectation that the ministerial meeting will result in a speech more aligned with fiscal responsibility by the government.

The statements made by the new secretary of the National Treasury, Rogério Ceron, in an interview with Sheetand the Minister of Planning and Budget, Simone Tebet, reinforced this perception of investors, by signaling that they will seek control of the public debt and responsibility for government spending.

The spot commercial dollar closed down 1.85%, at R$5.3510 on sale. The Ibovespa ended the day up 2.19%, at 107,641 points.

Interest rates also dropped on Thursday. Contracts maturing in 2024 closed at a rate of 13.70%, compared to 13.79% at the close of this Wednesday. For maturities for 2025, the rate dropped from 13.31% to 13.13% per annum. And for 2027, interest rates dropped from 13.31% to 13.07%.

In an interview with Sheet, the new secretary of the National Treasury states that the fronts of action include reviewing exemptions and expenses. Ceron also indicates the possibility that the new fiscal rule will give flexibility to public investments, but provide for greater limitation for current expenses (which include salaries and benefits). Check out the main excerpts:

In her inauguration speech as Minister of Planning, marked by a political tone, Tebet preached fiscal responsibility, the fight against inflation and high interest rates and defended the approval of the tax reform.

A sample of this search for opportunities appears in the performance of some of the main stocks on the Ibovespa. Petrobras’ preferred shares rose 3.60%, and ordinary shares closed up 3.24%, while Brent-type oil, which usually has a lot of influence on the state’s share, rose just over 1%. Among the banks, the highlight was the common shares of Banco do Brasil, which advanced 4.57%.

Market indicators in Brazil went against what happened this Thursday abroad. The DXY index, which measures the dollar’s performance against other major global currencies, rose 0.85%. And the main stock indexes in New York are down close to 1%.

Abroad, markets in the United States must react to the disclosure of the creation of 235 thousand new jobs by companies in the country in December 2022, compared to 182 thousand vacancies in November, according to a report by ADP Research. The survey is considered a preview of the Payroll report, the most extensive survey on job creation in the United States.

With Reuters