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Brazil's central bank cut the Selic rate by 25 basis points to 6.75%, a new low, and signaled an end to its easing cycle. The bank kept the door open to future cuts if risks change.
A pause in easing supports the real by limiting further rate cuts, which can make Brazilian exports slightly more expensive for buyers; the market is pricing in tightening later in 2018.
octaafrica.netFeb 8, 2018After 213 past bearish macro events, Brazilian Real (BRL per USD) moved a median -0.2% over 5 sessions (46% higher; middle half -1.5% to +0.9%), and +0.2% over 20.
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.
