Dollar rises against the Brazilian currency to R$5.42 on risk of global recession
RIO DE JANEIRO, BRAZIL – The commercial dollar closed Wednesday (6) up 0.6% at R$5.42. The currency returned to the level of January 27, 2022, when it also reached R$ 5.42.
On Wednesday (6) at 13:24, the dollar peaked and traded at R$ 5.46.
The currency continues its upward trend. On Tuesday (5), it closed with a gain of 1.19%, trading at R$ 5.39, a level it had not reached since January 28.
Ibovespa, the main index of the B3 (São Paulo Stock Exchange), rose 0.43% on Wednesday (6), reaching 98.719 points. The daily minimum was 97,423 points.
The depreciation of the real against the dollar is mainly due to the international high-interest rate scenario.
The scenario has changed. On April 4 of this year, the dollar reached R$4.61. On that day, the currency of the United States fell 17.4% in the cumulative value of 2022, with the Real being one of the most appreciated currencies in the world.
In real terms (i.e., adjusted for inflation), the North American currency is far from the historical record value recorded in the 2002 elections. Considering the IPCA (National Wide Consumer Price Index) calculated by IBGE and U.S. inflation, the currency peaked in September 2002 at R$7.86.
Investors are concerned about a possible global recession, especially in the U.S. and European economies.
On June 15, the Fed (Federal Reserve, the U.S. central bank) announced a 0.75% interest rate increase. This was the highest interest rate increase since 1994.
CHILE
Other Latin American currencies were also weak. Thus the U.S. dollar reached 1,000 Chilean pesos for the first time.
Live Market IntelligenceBrazil — Live Market Board
Rio Times · Live Market Intelligence
Brazil — Live Market Board
+1.55%
174,576.80
+1.55%
65,522.56
-0.38%
11,450.75
-0.76%
3,009,029
+0.46%
2,508.47
-0.09%
60,117.56
+0.55%
| Instrument | Last | Change | YoY | Prev. | High | Low | Volume |
|---|---|---|---|---|---|---|---|
| IBOV | 174,576.80 | +1.55% | +21.85% | 171,906.72 | 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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