# Some Thoughts on Brazil FX Policy - BBH — Octa

> Brown Brothers Harriman analysts noted that central bank governor Goldfajn signaled discomfort with the strong real, suggesting the bank may not fully roll over around $7 billion of FX swaps expiring March 1. Analysts flagged 3.10 per dollar as a key level and expect another 75 bp rate cut at the February 22 meeting.

- Date: 2017-01-31 · published 2017-01-31T12:00:00.000Z
- Category: macro · region Brazil · magnitude low
- Page: https://feedsoft.ai/events/73179-some-thoughts-on-brazil-fx-policy-bbh-octa
- Commodities: [Brazilian Real (BRL per USD)](https://feedsoft.ai/c/USDBRL.md)

## Why it matters

Possible non-renewal of FX swaps would reduce dollar supply and push USD/BRL higher, making Brazilian exports cheaper and more competitive, which is bearish for global soy and corn prices.

## Read by commodity

- USDBRL: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| USDBRL | 2019-07-30 | [Brazil: BCB to ease - TDS — Octa](https://feedsoft.ai/events/58290-brazil-bcb-to-ease-tds-octa.md) | +4.1% | +9.7% |
| USDBRL | 2019-02-19 | [Latam FX weak, Brazil's real drops ahead of pension reform plans - Pension Policy International](https://feedsoft.ai/events/60781-latam-fx-weak-brazil-s-real-drops-ahead-of-pension-reform-plans-pension-policy.md) | +1.4% | +1.5% |
| USDBRL | 2021-01-29 | [Brazil's real lags Latam FX on a barrage of weak data \| Financial Post](https://feedsoft.ai/events/49383-brazil-s-real-lags-latam-fx-on-a-barrage-of-weak-data-financial-post.md) | +0.5% | +3.2% |
| USDBRL | 2019-10-30 | [Brazil: BCB to cut rates by 50bps – TDS — Octa](https://feedsoft.ai/events/56777-brazil-bcb-to-cut-rates-by-50bps-tds-octa.md) | -0.1% | +6.6% |
| USDBRL | 2023-10-11 | [Brazil: How higher for how longer? – Rabobank — Octa](https://feedsoft.ai/events/33833-brazil-how-higher-for-how-longer-rabobank-octa.md) | -1.0% | -3.9% |

## Sources

- octaafrica.net: https://www.octaafrica.net/markets/news/view/406636/

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