# Latam FX: Fiscal fundamentals | articles | ING THINK

> ING analysts say the Brazilian real has lagged despite a weaker dollar, citing fiscal concerns tied to the incoming Lula administration's plan to exceed the spending ceiling. They forecast USD/BRL weakening to 5.15 and favor the Mexican peso into 2023.

- Date: 2022-12-13 · published 2022-12-13T12:00:00.000Z
- Category: macro · region Brazil · magnitude low
- Page: https://feedsoft.ai/events/38430-latam-fx-fiscal-fundamentals-articles-ing-think
- Commodities: [Brazilian Real (BRL per USD)](https://feedsoft.ai/c/USDBRL.md)

## Why it matters

A weaker real makes Brazilian exports cheaper in dollars, which can encourage Brazilian soybean, corn and meal selling and pressure dollar prices for these commodities.

## Read by commodity

- USDBRL: bearish ▼

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| USDBRL | 2023-08-14 | [Latam FX Talking: Full steam ahead with easing cycles \| articles \| ING THINK](https://feedsoft.ai/events/34790-latam-fx-talking-full-steam-ahead-with-easing-cycles-articles-ing-think.md) | +1.4% | +0.8% |
| USDBRL | 2023-09-11 | [Latam FX Talking: Large easing cycles in Brazil and Chile \| articles \| ING THINK](https://feedsoft.ai/events/34324-latam-fx-talking-large-easing-cycles-in-brazil-and-chile-articles-ing-think.md) | -2.2% | +3.6% |
| USDBRL | 2024-07-10 | [Latam FX Talking: Making the most of a short-lived rebound \| articles \| ING THINK](https://feedsoft.ai/events/9456-latam-fx-talking-making-the-most-of-a-short-lived-rebound-articles-ing-think.md) | +0.5% | +3.9% |
| USDBRL | 2021-11-17 | [LATAM FX Outlook 2022: Return of the Pink Tide? \| articles \| ING THINK](https://feedsoft.ai/events/44256-latam-fx-outlook-2022-return-of-the-pink-tide-articles-ing-think.md) | +2.7% | +3.9% |
| USDBRL | 2024-02-16 | [Latam FX Talking: Rethinking the real \| ING THINK](https://feedsoft.ai/events/31876-latam-fx-talking-rethinking-the-real-ing-think.md) | +0.0% | +0.4% |

## Sources

- think.ing.com: https://think.ing.com/articles/latam-fx-talking-december2022/

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