The September futures dollar seems to have risen sharply, after pulling back in early trade, while the greenback rises early, against the fall of the US currency abroad. An operator of a currency brokerage says that the local markets are on the defensive waiting for new polls.
Eurasia advises that the polls already announced indicate the strengthening of the polarization between the PT and Jair Bolsonaro (PSL), with Geraldo Alckmin (PSDB), who is well regarded by the financial market, still skating on the intentions of voting.
The dollar reached R $ 3.98 at around 09:40 p.m. on this Tuesday Aug. 21st. In the opening of the market, at 9am, the price of the currency was R $ 3.96. On Monday (20), the dollar rose to its highest level in two and a half years, above $ 3.95, with investors cautious about the domestic election scene.
The value considered by the quotations is the commercial dollar, that is, the currency used in commercial transactions in the financial market. The dollar tourism is the one used by Brazilians who wish to travel abroad.
The rise in the price of the commercial dollar raised the price of tourism to R $ 4.20. At 9:42 am, the US dollar was up 0.69% at R $ 3.9846. The future dollar of September was up 0.44%, to R $ 3.9905.
After rising on Monday to R $ 3.9571 (+ 1.10%) in the spot market – the highest price since February 29, 2016 (R $ 3.9984), and against the persistence of appreciation on Tuesday, investors cautious amid mistrust and comments that the central bank may intervene to contain the escalating currency. In seven of the last eight sessions, the US dollar already accumulated a gain of 5.12% against the real in the period until Monday.
Abroad, the US currency shrinks against its major counterparts and shows mixed signals ahead of emerging and commodity-bound currencies, still in reaction to criticism from US President Donald Trump on the Fed’s initiative to tighten its policy monetary policy.
For analysts in the market, this kind of comment raises speculation that the White House “could even take the path of direct foreign exchange intervention.”
China’s central bank (PBoC) said on Tuesday it would not use its currency, the yuan, as a weapon in the current trade dispute with the United States. “China will not engage in competitive devaluation,” said Li Bo, head of PBoC’s monetary department.
A delegation of nine Beijing officials led by Chinese Vice Minister of Commerce Wang Shouwen will meet on Wednesday and Thursday in Washington with a group of US officials headed by US Treasury Undersecretary David Malpass to resume the trade talks between the two countries, according to The Wall Street Journal. Sources with knowledge of the subject say the US will try to persuade the Chinese to raise the value of the yuan to levels before the beginning of the trade dispute.
Since April, the yuan has accumulated a 10% devaluation against the dollar, although the Chinese currency has recovered in recent sessions with the news about impending trade talks.
