◂ Event Timeline

Jul 31, 2024MACROBrazil

Brazil holds interest rates as expected, flags 'greater caution'

Brazil's central bank Copom held the Selic benchmark rate at 10.50%. It flagged greater caution as inflation outpaced expectations.

WHY IT MATTERS

A steady high Selic and a weaker real keep Brazilian import costs elevated and can dampen domestic feed demand, while a weaker real tends to make Brazilian soy and corn exports more competitive.

AFFECTSBrazilian Real (BRL per USD)▲

SOURCE
reuters.comAndre RomaniJul 31, 2024

Price reaction & history

Brazilian Real (BRL per USD)▲bullishSO FAR1d +0.2%5d -0.2%20d -2.7%

After 301 past bullish macro events, Brazilian Real (BRL per USD) moved a median +0.4% over 5 sessions (57% higher; middle half -1.2% to +1.7%), and +1.0% over 20.

Nov 12, 2024Brazil’s real weakens, interest rates climb under Trump effect-0.6%
Jul 2, 2024Latam assets drop on fiscal policy, interest rates caution-2.8%
Sep 19, 2019Brazil Cuts Interest Rate to Fresh Record Low+2.0%
Jul 25, 2023Brazil 50 basis-point rate cut comes into play as inflation edges lower+0.2%
Oct 28, 2021Brazil's real drops as larger-than-expected rate hike fails to satisfy | Financial Post+0.7%

Moves of each commodity's benchmark from the last close before the event. Historical reads pool past events of the same kind; they describe what happened, not what will. Not investment advice.

Brazilian Real (BRL per USD) USDBRL · GP ▸

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