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BCB Governor Grants Interview, USDBRL Hovers Below 5.00 Resistance

BRAZIL
  • Central bank Governor Campos Neto meets with Itaú BBA representatives and foreign investors before participating in a live interview to Poder360 newsportal at 1200 Brasilia time. USDBRL edged higher through late trade on Wednesday and closed just below the pivotal 5.00 resistance point.
  • Iron ore jumped by as much as 5% amid uncertainty over how much steel mills would cut output by, and as gains in Chinese stocks aided broader economic sentiment. Prices are now back beyond $100/MT in Singapore. The broad rebound in commodity prices may support BRL at the open
  • Prices measured by IGP-10 inflation index decreased by 0.13% on a monthly comparison, slightly above the median estimate of -0.29%, after a 1.10% drop in prior reading. As a reminder, the Index is weighted 60% producer prices, 30% consumer prices and 10% construction costs.
  • Treasury auctions fixed-rate LTN local notes due 2024, 2025 and 2027; fixed-rate NTN-F local notes due 2029 and 2033.

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