The dollar closed higher this Wednesday (24), reversing part of the losses recorded in recent sessions, following the advance of the currency abroad and the rise in Treasury rates, on a day of bond auctions in the USA.
The Central Bank held an auction of up to 12 thousand traditional currency swap contracts in this session for the purpose of rolling over the maturity date of July 1, 2024.
What is the dollar exchange rate today?
The spot dollar closed with an increase of 0.34%, at R$5.147 when buying and R$5.148 when selling. At 5:45 pm, the first-month dollar futures contract rose 0.23%, to 5,149 points.
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Commercial dollar
Sale: R$5,148
Purchase: R$5,147
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Maximum: R$ 5,172
Minimum: R$ 5,125
Tourism dollar
Sale: R$5,364
Purchase: R$5,184
The dollar operated higher against the real throughout practically the entire trading session, with investors recomposing part of their long positions (in the sense of rising prices) in the futures market after the recent declines. Abroad, the US currency also maintained gains against most other currencies.
After 11 am, the upward movement of the dollar intensified in Brazil, in the wake of the increase in Treasury yields. Amid expectations ahead of the auction of 70 billion dollars of five-year US Treasury bonds, yields reached their highest rates of the day shortly after 11 am (Brasília time).
In the Brazilian spot market, the dollar rose from a minimum price of R$ 5.1247 (-0.07%) at 9:03 am — at the beginning of the session — to a maximum of R$ 5.1727 (+0.86%) at 11:37 am, amid rising yields ahead of the bond auction.
The maximum exchange rate of the dollar coincided with the peaks in DI rates (Interbank Deposits), also influenced by Treasuries.
In addition to the upward pressure on the dollar brought from abroad, the market was attentive to the speech by the director of Monetary Policy at the Central Bank, Gabriel Galípolo, during an event in São Paulo, about the pursuit of the 3% inflation target.
“From the point of view of the director of Monetary Policy, this is not a topic… The target is not to be discussed, it is to be pursued”, he stated, reinforcing that the discussion on the viability of the inflation target is not carried out in the Copom and is a “non-topic”.
Galípolo also pointed out that the floating exchange rate regime in Brazil has absorbed changes in asset pricing — a phenomenon that occurs in the wake of the expectation that the Federal Reserve will promote fewer interest cuts in 2024. According to the director, the moment appears to be “predominantly appreciation of the dollar”.
(With Reuters)
