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Brazil Snapshot: Relief For Long-End Of The DI Curve, BRL Outperforms Peers

LATAM
  • Some outperformance for Brazilian assets today with the currency a clear outlier amid its regional counterparts. Data upcoming for the rest of the week includes industrial production as well as market PMIs. Next week will focus on the latest BCB focus survey before October IPCA inflation, currently expected to print at 10.38% Y/y.
  • Another focus will be on the Lower House who will once more attempt to vote on a bill aimed at creating a yearly limit for court ordered payments and changing the spending cap rules.
    • USDBRL down 0.44% at 5.6617
  • DI Swaps:
    • Jan '22 +3 bps at 8.41%
    • Jan '23 +3 bps at 12.31%
    • Jan '26 -19 bps at 12.28%
    • Jan '31 -26 bps at 12.16%
  • USDMXN up 0.62% at 20.9135
  • USDCLP up 0.49% at 816.72
  • USDCOP up 1.35% at 3845.88
  • BRLMXN up 0.96% at 3.694
  • JPMorgan EM Ccy Index down 0.27% at 54.499
  • WTI Crude Oil (front-month) down $2.89 (-3.44%) at $80.99
  • Gold is down $26.08 (-1.46%) at $1761.47

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