# Brazil's real falls after Lula unveils 're-industrialization' plan

> Brazil's real fell 1.2% on Monday after President Lula unveiled a 10-year industrial development plan using state credits and subsidies. Investors sold the currency, seeing the plan as a risk to fiscal health and moving into dollars for protection.

- Date: 2024-01-22 · published 2024-01-22T12:00:00.000Z
- Category: macro · region Brazil · magnitude low
- Page: https://feedsoft.ai/events/32322-brazil-s-real-falls-after-lula-unveils-re-industrialization-plan
- Commodities: [Brazilian Real (BRL per USD)](https://feedsoft.ai/c/USDBRL.md), [Soybean Meal](https://feedsoft.ai/c/SBM.md)

## Why it matters

A weaker real makes Brazilian exports such as soybeans, soymeal and corn cheaper in dollar terms, which can support Brazilian selling pressure on world feed markets. Fiscal concerns could also keep the currency weak for longer.

## Read by commodity

- SBM: bearish ▼
- USDBRL: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| USDBRL | 2026-10-26 | [Euro falls against dollar; Brazilian real tumbles after Lula election win](https://feedsoft.ai/events/17282-euro-falls-against-dollar-brazilian-real-tumbles-after-lula-election-win.md) | +7.6% | — |
| USDBRL | 2026-10-26 | [Brazil’s real sinks after Lula’s re-election victory \| Financial Markets News \| Al Jazeera](https://feedsoft.ai/events/17283-brazil-s-real-sinks-after-lula-s-re-election-victory-financial-markets-news-al.md) | +7.6% | — |
| USDBRL | 2024-12-03 | [Falling Brazilian real triggers new wave of industrial price hikes](https://feedsoft.ai/events/12463-falling-brazilian-real-triggers-new-wave-of-industrial-price-hikes.md) | -0.2% | +1.8% |
| USDBRL | 2022-10-31 | [Brazil's real down after Lula wins presidential election; Bolsonaro yet to concede](https://feedsoft.ai/events/39344-brazil-s-real-down-after-lula-wins-presidential-election-bolsonaro-yet-to.md) | -5.8% | -1.1% |
| USDBRL | 2018-06-07 | [Brazil's Real Is in Free Fall - Bloomberg](https://feedsoft.ai/events/5377-brazil-s-real-is-in-free-fall-bloomberg.md) | -2.8% | +2.8% |
| SBM | 2023-01-09 | [Brazil's Currency Falls Vs. Dollar After Riot by Bolsonaro Supporters - Markets Insider](https://feedsoft.ai/events/37983-brazil-s-currency-falls-vs-dollar-after-riot-by-bolsonaro-supporters-markets.md) | +1.7% | -1.2% |
| SBM | 2024-06-25 | [Lula’s spending plans turn heat on Brazilian markets](https://feedsoft.ai/events/29989-lula-s-spending-plans-turn-heat-on-brazilian-markets.md) | -1.8% | -7.4% |
| SBM | 2020-04-29 | [Decline in Brazil’s Real Underscores Need for Hedging](https://feedsoft.ai/events/53837-decline-in-brazil-s-real-underscores-need-for-hedging.md) | +1.1% | +0.1% |

## Sources

- reuters.com: https://www.reuters.com/world/americas/brazils-lula-launches-re-industrialization-plan-next-decade-2024-01-22/

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.