Dollar Drops to R$ 4.87 After China’s Economic Moves
After China announced new economic stimuli, the financial market reacted positively, pushing the dollar below R$ 4.90.
The stock index reached over 119,000 points. This is its peak since early August.
On Thursday, the dollar closed at R$ 4.873, showing a decrease. It started steady but declined during trading.
The last low was on August 30, at R$ 4.869. September sees the dollar’s growth nearly stagnant. For 2023, it declined by 7.71%.
Enthusiasm ruled the stock market. The Ibovespa index rose again, reaching 119,392 points.
Oil and mining stocks contributed to this. They grew after China revealed stimulus measures. This index hasn’t been this high since August 4.
China’s economy has been slowing. Its housing market poses challenges, impacting nations like Brazil.
Recent measures in China boosted spending and reduced mortgage rates. These moves have eased global concerns.
High interest rates in Brazil still attract foreign investments.
Background
China is the world’s second-largest economy. Brazil and China share a strong trade relationship.
Over years, Brazil exported raw materials to China. China’s economic decisions directly impact Brazil. When China prospers, Brazilian markets often benefit.
Economic stimuli aim to boost growth. In the past, China used such measures effectively. Brazil’s economy is diverse and resource-rich.
The two countries are part of BRICS. This group influences global financial dynamics.
Historically, market decisions considered global influences. Brazil’s ties with key players like China shape its financial landscape.
The dollar’s value often reflects global events. China’s actions, being a major economy, ripple worldwide.
Historically, China utilized stimuli to spur its economy. Brazil, with vast resources, benefits from China’s growth.
The BRICS association enhances cooperation. This bloc, including Brazil and China, has significant sway globally.
Brazil’s exports, especially raw materials, find markets in China. Economic decisions in one country can affect the other.
More: Brazil news in English, every day from The Rio Times.
Live Market IntelligenceBrazil — Live Market Board
Rio Times · Live Market Intelligence
Brazil — Live Market Board
+0.46%
183,827.59
+0.46%
65,071.30
+0.20%
11,055.91
-0.73%
2,782,561
-0.59%
2,558.92
-0.79%
60,220.45
+0.32%
| Instrument | Last | Change | YoY | Prev. | High | Low | Volume |
|---|---|---|---|---|---|---|---|
| IBOV | 183,827.59 | +0.46% | +21.85% | 182,991.13 | 168,310 | 167,142 | — |
| USD/BRL | 5.16 | +0.01% | -5.13% | 5.16 | 5.18 | 5.14 | — |
| SELIC | 14.00% | — | — | — | — | — | |
| PETR4 | 41.64 | -0.05% | +35.19% | 41.66 | 41.97 | 41.15 | 41,499,400 |
| VALE3 | 72.97 | +0.83% | +30.75% | 72.37 | 73.54 | 72.66 | 17,658,000 |
| ITUB4 | 38.60 | -1.03% | +4.57% | 39.00 | 39.34 | 38.39 | 29,487,800 |
| BBDC4 | 16.85 | +0.36% | +3.50% | 16.79 | 16.90 | 16.67 | 19,416,900 |
| BBAS3 | 19.37 | +0.47% | +0.73% | 19.28 | 19.44 | 19.16 | 11,069,200 |
| B3SA3 | 14.26 | -0.21% | +12.73% | 14.29 | 14.47 | 14.11 | 33,037,800 |
| ABEV3 | 14.89 | -0.80% | +21.91% | 15.01 | 15.07 | 14.81 | 16,453,100 |
| WEGE3 | 47.59 | +0.49% | +29.99% | 47.36 | 48.08 | 47.36 | 3,364,600 |
| PRIO3 | 59.14 | -0.19% | +50.67% | 59.25 | 59.81 | 58.74 | 3,325,600 |
| SUZB3 | 41.33 | +2.35% | -23.55% | 40.38 | 41.48 | 40.35 | 3,914,900 |
| RENT3 | 34.68 | -0.09% | +0.84% | 34.71 | 34.96 | 34.35 | 7,979,100 |
| AZZA3 | 15.89 | -2.63% | -53.76% | 16.32 | 16.42 | 15.82 | 1,330,300 |
| CSNA3 | 4.30 | +0.47% | -42.65% | 4.28 | 4.41 | 4.26 | 10,076,100 |
| GGBR4 | 24.69 | +2.19% | +51.38% | 24.16 | 24.85 | 24.18 | 7,047,600 |
| ENEV3 | 24.21 | -1.38% | +70.49% | 24.55 | 24.64 | 23.99 | 9,297,000 |
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