# Short USD/BRL on BCB’s Aggressive Tightening: Q3 Top Trading Opportunities | Forex trading, free forex education | Forex.ca

> Forex.ca says the Brazilian real was among the best-performing emerging market currencies in Q2 2021, gaining more than 14% against the dollar. It expects the central bank (BCB/COPOM) to keep raising the Selic rate, with a further 75 bps hike expected in August and year-end at 6.50%.

- Date: 2021-07-05 · published 2021-07-05T12:00:00.000Z
- Category: macro · region Brazil · magnitude medium
- Page: https://feedsoft.ai/events/9908-short-usd-brl-on-bcb-s-aggressive-tightening-q3-top-trading-opportunities-forex
- Commodities: [Brazilian Real (BRL per USD)](https://feedsoft.ai/c/USDBRL.md)

## Why it matters

Higher Selic rates and carry appeal support the real, which lowers the dollar cost of Brazilian feed and meal exports and can weigh on Brazilian export prices.

## Read by commodity

- USDBRL: bearish ▼

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| USDBRL | 2021-10-28 | [USD/BRL Points Lower as Brazilian Central Bank Raises Selic Rate by 1.5% \| Forex trading, free forex education \| Forex.ca](https://feedsoft.ai/events/44786-usd-brl-points-lower-as-brazilian-central-bank-raises-selic-rate-by-1-5-forex.md) | +0.7% | +0.2% |
| USDBRL | 2024-09-19 | [Brazil’s Central Bank resumes tightening as Fed moves toward easing](https://feedsoft.ai/events/28521-brazil-s-central-bank-resumes-tightening-as-fed-moves-toward-easing.md) | -0.0% | +3.5% |
| USDBRL | 2017-03-09 | [Brazil denies plans to raise taxes on forex transactions to help meet fiscal target — MercoPress](https://feedsoft.ai/events/72190-brazil-denies-plans-to-raise-taxes-on-forex-transactions-to-help-meet-fiscal.md) | +0.2% | -1.9% |
| USDBRL | 2021-07-12 | [USD/BRL: Real should continue to find demand this summer – ING — Octa](https://feedsoft.ai/events/46263-usd-brl-real-should-continue-to-find-demand-this-summer-ing-octa.md) | -3.2% | -0.7% |
| USDBRL | 2021-08-04 | [USD/BRL: Hawkish BCB to provide further anchor to the real – Credit Suisse — Octa](https://feedsoft.ai/events/45761-usd-brl-hawkish-bcb-to-provide-further-anchor-to-the-real-credit-suisse-octa.md) | -0.8% | -1.8% |

## Sources

- forex.ca: https://www.forex.ca/short-usd-brl-on-bcbs-aggressive-tightening-q3-top-trading-opportunities/

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