# USD/BRL: An overvalued currency – Lloyds Bank — Octa

> Lloyds Bank analysts say the Brazilian real is overvalued by about 13% against the US dollar. They expect the real to weaken modestly as pension reform meets resistance in Congress and the central bank cuts rates. The bank frames a weaker real as only a partial retracement of last year's gains.

- Date: 2017-04-17 · published 2017-04-17T12:00:00.000Z
- Category: macro · region Brazil · magnitude low
- Page: https://feedsoft.ai/events/71707-usd-brl-an-overvalued-currency-lloyds-bank-octa
- Commodities: [Brazilian Real (BRL per USD)](https://feedsoft.ai/c/USDBRL.md)

## Why it matters

A weaker real would make Brazilian agricultural exports cheaper in dollar terms, supporting Brazilian competitiveness in soy, meal and corn and potentially pressuring global prices.

## Read by commodity

- USDBRL: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| USDBRL | 2017-06-29 | [USD/BRL: upward pressure during next months - Danske Bank — Octa](https://feedsoft.ai/events/70711-usd-brl-upward-pressure-during-next-months-danske-bank-octa.md) | +0.2% | -4.4% |
| USDBRL | 2018-06-06 | [Brazilian currency drops against the US dollar \| AP News](https://feedsoft.ai/events/5378-brazilian-currency-drops-against-the-us-dollar-ap-news.md) | -2.7% | +2.7% |
| USDBRL | 2016-11-10 | [USD/BRL: Brazilian real tumbles to lowest since June — Octa](https://feedsoft.ai/events/5468-usd-brl-brazilian-real-tumbles-to-lowest-since-june-octa.md) | +6.1% | +4.5% |
| USDBRL | 2026-06-30 | [Brazilian Real: Rising rates signal currency risk – Commerzbank](https://feedsoft.ai/events/19017-brazilian-real-rising-rates-signal-currency-risk-commerzbank.md) | -0.6% | -1.3% |
| USDBRL | 2018-05-31 | [Should U.S. Farmers Fret Over Falling Ag Currencies?](https://feedsoft.ai/events/64951-should-u-s-farmers-fret-over-falling-ag-currencies.md) | +2.1% | +3.1% |

## Sources

- octaafrica.net: https://www.octaafrica.net/markets/news/view/431808/

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