CANADA: Politics Week: Trudeau Facing More Internal Dissent And Departures

MNI China Daily Summary: Monday, October 21

MNI: GERMANY SEP PRODUCER PRICES -0.5% M/M

MNI NBH WATCH: Hold Expected, December Projections In Focus

MNI BRIEF: PBOC Wants SWIFT Improvements - Dep Gov Lu

MNI BRIEF: China Grid Investment Up 21.1% YTD

EZ/UK Bond Supply Calendar: Italy Synd; UK, Germany On Tuesday

EZ/UK Bond Supply Calendar: IT, SK, EU, BE, BoE APF on Monday

MNI: GERMANY SEP PRODUCER PRICES -1.4% Y/Y

CANADA: Politics Week: Trudeau Faces More Pressure To Resign

CANADA: Politics Week: Parliament Opens With Early Election Threats

AUSTRALIA: Albanese Lines Up Budget for May Election

© 1982-2024 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

BRAZIL: CIBC Still Favours Short Tactical USDBRL Plays From Current Levels

BRAZIL
EM BulletBulletGlobalEmerging Market NewsRegion
  • CIBC says that on-going fiscal concerns, fuelled by the lack of a concrete action plan to reduce expenditures, are keeping the market on its toes. Nonetheless, they note that the government has frequently adjusted to the market response to certain headlines over the last few years, and they expect Finance Minister Haddad to keep any creative measures to expand government spending contained for now. They expect biweekly inflation numbers for the month of October to support the need for a hawkish BCB.
  • Looking at USD/BRL, CIBC expects the BRL’s high carry and the BCB’s ability and willingness to support the currency as it moves closer to its YTD low to provide some relief to the real this week. They continue to favour short tactical USD/BRL plays from current levels.
128 words

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.
  • CIBC says that on-going fiscal concerns, fuelled by the lack of a concrete action plan to reduce expenditures, are keeping the market on its toes. Nonetheless, they note that the government has frequently adjusted to the market response to certain headlines over the last few years, and they expect Finance Minister Haddad to keep any creative measures to expand government spending contained for now. They expect biweekly inflation numbers for the month of October to support the need for a hawkish BCB.
  • Looking at USD/BRL, CIBC expects the BRL’s high carry and the BCB’s ability and willingness to support the currency as it moves closer to its YTD low to provide some relief to the real this week. They continue to favour short tactical USD/BRL plays from current levels.