O dollar reversed earlier losses and started to rise slightly against the real on Tuesday, reflecting worsening sentiment in international markets and persistent domestic fiscal fears.
After falling 0.89% during the morning, to 5.1887 reais, at 12:31 (from Brasilia)the spot dollar advanced 0.27%, at 5.2492 reais on sale.
On B3, at 12:31 (from Brasilia)the first-maturity dollar futures contract rose 0.13% at 5.2545 reais.
The reversal in the US currency’s losses against the real came in line with a strengthening of the dollar abroad, where its index against a basket of strong pairs accelerated the rise to almost 0.5% around 12:30 pm (GMT).
In a sign of worsening global risk appetite, the main indexes of Wall Street returned early gains and went into the red on Tuesday after US consumer confidence data renewed fears of a recession in the world’s biggest economy.
The US Conference Board said on Tuesday its consumer confidence index dropped 4.5 points in June to a reading of 98.7.
Meanwhile, in Brazil, investors remained apprehensive about the future of public accounts amidst the passage in Congress of a PEC that intends to allocate resources for the expansion of benefits such as the Auxílio Brasil and the gas voucher, as well as for the creation of a called a “truck card”.
The initiative of Fuels PECas it is called, takes place less than four months before the elections and seeks to contain the effects of inflation on the population.
(Updated at 12:52)
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Source: Moneytimes
I am an author at Global happenings and I mostly cover automobile news. In my time working in the automotive industry, I have developed a keen interest in the latest developments and trends. My writing skills have also allowed me to share my knowledge with others through articles and blog posts.
