Dollar operates high on Monday, waiting for the Fed

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Last Friday, the US currency closed down 0.98%, quoted at BRL 4.8761, the lowest closing since June 7, 2022. Monday (12), with investors waiting for inflation data in the United States, scheduled for tomorrow, and waiting for the decision on interest rates by the Federal Reserve (Fed, the US central bank), which should be released on Wednesday (14). At 11:03 am, the US currency was up 0.30%, quoted at R$ 4.8907. See more quotes. Last Friday (9), the dollar fell by 0.98% and ended quoted at R$ 4.8761, the lowest level in a year. UNDERSTAND: What makes the dollar rise or fall in relation to the real COMMERCIAL X TOURISM: what is the difference between the quotation of foreign currencies and why is tourism more expensive? MONEY OR CARD? What’s the best way to take dollars on trips? DOLLAR: When is the best time to buy the currency? What is messing with the markets? The market starts this week in standby mode for inflation data in the United States and for the Fed interest rate decision, which should be released on Wednesday (14). “There is a more positive bias to asset prices on Monday morning, and the majority bet that the Fed will ‘pause’ its rate hike cycle this week is the main reason,” said Guide Investments in report. It is worth considering, however, that despite the more optimistic sentiment of investors about a possible maintenance of interest rates by the US Central Bank, projections still indicate that the autarchy should raise the US basic interest rate once again by 0.25 points percentage. “What the market wants to look closely at is Powell’s statement and speech [presidente do Fed]in which there may be some indication of what the future steps of the American BC will be”, added the Guide. Still abroad, another point that is on the radar is China, after negative data from the country have increased expectations that the government of the Asian giant will be able to support its economy.In the domestic scenario, financial market economists reduced the inflation estimate for this year from 5.69% to 5.42% in the Central Bank’s Focus report, released this Monday (12) The drop in this year’s inflation projection happened after the release of the May IPCA, which totaled 0.23%. In the 12 months through May, official inflation totaled 3.94%. Even with the decline in the market’s inflation projection for 2023, it still exceeds the ceiling of the target set by the government, set at 3.25% by the National Monetary Council (CMN). It will be considered formally met if it fluctuates between 1, 75% and 4.75% In this sense, investors are also looking forward to the next meeting of the Monetary Policy Committee (Copom) of the Brazilian Central Bank, which should take place next week.

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