Dollar starts to fall after reaching R$5.22 with US employment data; Ibovespa rises

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The previous day, the US currency advanced 0.32%, to R$5.1687, the highest level in six months. The main B3 index, in turn, fell 0.28%, to 113,284 points. Dollar banknotes Pexels The dollar spent a good part of the trading session this Friday (6) on a strong rise, breaking the level of R$ 5.20, after data on the United States labor market came in well above market expectations . In the early afternoon, however, it reversed its signal and began to fall. Ibovespa, the main stock index on the Brazilian stock exchange, B3, opened falling, but also changed direction and rose. A very high number of new job vacancies directly impacts the country’s inflation, and could lead the Federal Reserve (Fed, the American central bank) to keep interest rates high for longer in the largest economy in the world. See the day in the markets below. Dollar At 3:03 pm, the US currency fell 0.28%, quoted at R$5.1541. At the day’s high, it reached R$5.2207. See more quotes. The dollar has not been above the level of R$5.20 since March of this year. The previous day, the dollar closed up 0.32%, quoted at R$5.1524, the highest level in six months. As a result, the currency began to accumulate: increases of 2.82% in the week and month; drop of 2.07% in the year. Ibovespa At the same time, Ibovespa rose 0.73%, to 114,112 points. The day before, the index closed down 0.28%, at 113,248 points. As a result, it began to accumulate: drops of 2.81% in the week and month; increase of 3.23% in the year. READ ALSO CASH OR CARD? What is the best way to take dollars when traveling? DOLLAR: When is the best time to buy the currency? Offshore PL rapporteur meets with Haddad What is changing the markets? The American job market generated 336 thousand new non-agricultural job openings in September, while projections pointed to a generation of 171 thousand vacancies. These numbers are negative for the markets. More jobs put more money in the hands of the population, which continues to put pressure on inflation and, consequently, makes the Fed’s task of lowering its interest rates in the short term more difficult. Currently, interest rates in the country are between 5.25% and 5.50%, the highest level in two decades, and the Fed has already said that it should keep them high until inflation is under control and back to the target of 2%. in 2 months – today, annual inflation is close to 3.7%. With these expectations, the real yield on Treasuries (US Treasury bonds) once again reached its highest level in almost 15 years this Thursday. The picture, which represents how much investors can earn from the country’s public bonds after inflation is discounted, was also reflected in the markets. This is because these bonds are seen as the safest in the world and, when they increase in value, there is a global tendency for investors to migrate, leaving risky assets (like stocks, for example) and looking for the US Treasury.

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