The dollar operates higher on Wednesday (6), with investors awaiting the release of the minutes of the last monetary policy meeting of the central bank of the United States and the announcement of new sanctions against Russia.
At 10 am, the US currency rose 1.09%, quoted at R$ 4.7104. At the maximum of the day so far, it reached R$ 4.7124. See more quotes.
On Tuesday, the dollar closed up 1.13% against the real, at R$4.6598 – the biggest daily advance in 3 weeks. As a result, accumulates fall of 2.09% in the month and 16.41% in the year.
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US and EU to announce new sanctions against Russia on Wednesday
What is messing with the markets?
Abroad, oil prices rose and international stock markets were down on Wednesday.
Expectations of more Western sanctions against Russia and more aggressive interest rate hikes in the United States continued to weigh on the markets.
The Fed releases at 15:00 (GMT) the minutes of the last meeting of its last meeting, with details on the evolution of the plan to cut several trillions of dollars from the stock of acquired assets to stabilize financial markets during the pandemic and the next ones. policy steps to restrict credit and curb inflation.
The day before, Federal Reserve Director Lael Brainard said she expects interest rate hikes and a rapid reduction in the US central bank’s balance sheet to bring monetary policy to a “more neutral position” this year.
Here, FGV showed that the General Price Index – Internal Availability (IGP-DI) rose 2.37% in March, above expectations, driven by highs in diesel (16.86%), gasoline (12.69% ) and fertilizers (7.97%). The March IPCA result will be released by the IBGE on Friday.
“Not even the appreciation of the real is being enough to counter the high of commodities”, highlighted the economist at Necton, André Perfeito.
The dollar price in Brazil fell earlier this week to the lowest level since March 2020, reaching a pre-pandemic level, accentuating a trend that started this year with the inflow of foreign capital in search of profitability.
The dollar’s decline against the real has been favored by the surge in commodity prices and higher interest rates in Brazil. The country currently has the second highest real interest rate in the world, after Russia.
Higher interest rates in Brazil make the local currency more attractive to investors looking for income in riskier assets.