KNOWLEDGE is POWER / REAL NEWS is KEY
New York: Thursday, December 09, 2021
© 2021 U-S-NEWS.COM
Online Readers: 321
New York: Thursday, December 09, 2021
Online: 331
Donald Trump's new social media platform "TRUTH Social" Join the Waiting List - Click here
FILE PHOTO: 200 reais note are seen after Brazil's central bank issues the new note in Brasilia

MONEY & BUSINESS: Pressure to devalue Brazil real to ease in 2022, cenbank official says



FILE PHOTO: 200 reais note are seen after Brazil’s central bank issues the new note in Brasilia, Brazil September 2, 2020. REUTERS/Adriano Machado/File Photo

October 16, 2021

By Marcela Ayres and Jose Gomes Neto

BRASILIA/SAO PAULO (Reuters) – Brazil central bank monetary policy director Bruno Serra said on Friday the bank expects pressures to devalue the real to ease next year and discussed forex intervention.

Serra said the bank has been intervening in the forex market since the end of September, having already sold $3.5 billion. The main reason for the real devaluation currently, according to Serra, is the risk to fiscal sustainability.

He also mentioned that over the last two years, Brazilian companies have been repaying foreign debt, and that reduced normal levels of inflows. Serra expects this movement to end next year with around $20 billion in annual inflows. That would reduce the devaluation pressure over the real.

Serra said Brazilian investors sending their savings abroad to diversify investments have also weighed on the forex market. The central bank director said Brazilians send around $600 million a month abroad to invest, and the accumulated volume has reached $12 billion.

Serra also said he expects the real to rise against the dollar over the next months as liquidity improves and investors begin to react to higher interest rate differentials after recent Brazilian interest rate hikes to fight inflation.

Separately, Brazil’s central bank said on Friday it will offer $500 million in currency swaps at an extraordinary auction on Monday, half the amount it has been offering in similar sales this week to prop up the real.

(Reporting by Marcela Ayres in Brasilia and Jose Gomes Neto in Sao Paulo, Writing by Tatiana Bautzer; Editing by Steve Orlofsky and Sandra Maler)





Source link

(Visited 6 times, 1 visits today)
KNOWLEDGE is POWER / REAL NEWS is KEY
Woke & Liberal News is Fake News
You will find it on:
CNN - CBS - MSNBC - ABC - The New York Times - The Washington Post - Facebook - Twitter and more
They ALL SUCKS and simply DO NOT tell you the truth PERIOD

WARNING! If you usually get your news from one of these so-called "News Services" Welcome to you, but be prepared for big surprises!
eg. 2+2 is not 5 or 22 but 4 - There is not 57 different genders, only 2
KNOWLEDGE is POWER / REAL NEWS is KEY
Help your friends, family and the truth by sharing this page and articles.
Amen and a-women

PGlmcmFtZSB3aWR0aD0iNjQwIiBoZWlnaHQ9IjM2MCIgc2Nyb2xsaW5nPSJubyIgZnJhbWVib3JkZXI9IjAiIHN0eWxlPSJib3JkZXI6IG5vbmU7IiBzcmM9Imh0dHBzOi8vd3d3LmJpdGNodXRlLmNvbS9lbWJlZC9KcWlBWFdWUEFLcGYvIj48L2lmcmFtZT4=
THIS IS IT!!!