On a notable day, the US dollar rose slightly against the Brazilian real due to strong US economic reports.
This rise mirrors the dollar’s performance against other global currencies, with delays in US rate cuts expected until June or later.
The dollar ended at 4.9523 reais, a 0.28% gain. For the month, it also increased by 0.28%.
On the B3 exchange, the nearest dollar futures contract went up 0.42% to 4.9600 reais.
Initially, the dollar fell to 4.9191 reais, down 0.39%. However, it recovered, propelled by a rising dollar index and upbeat US economic news.
The US Labor Department reported that jobless claims dropped by 12,000 to 201,000, below the 218,000 forecast.
Also, home sales increased by 3.1%, reaching a seasonally adjusted annual rate of 4.00 million units, slightly above the 3.97 million expected.
These figures hint at a robust US economy, reducing the likelihood of early Federal Reserve rate cuts. Consequently, the dollar’s value remained stable within narrow margins in Brazil.
Fernando Bergallo of FB Capital remarked on the recent stability in the dollar’s value, linking it to uncertainties about US interest rates, which have slowed currency exchanges.
Buyers and sellers are both waiting for more favorable rates.
The dollar gained in Brazil, rising against currencies like the South African rand, Chilean peso, and Mexican peso.
The dollar reached its highest at 4.9550 reais, up by 0.33%. By late afternoon, the dollar index had slightly fallen by 0.02% to 103.960.
Brazil’s Central Bank noted a positive foreign exchange flow of $218 million for February, despite a financial outflow of $1.172 billion and a commercial inflow of $1.389 billion.
This scenario underscores global economic interconnectivity and the influence of US economic indicators on the dollar’s international value.