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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.
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Get the latest on Central Bank Policy and FX & FI Markets to help inform both your strategic and tactical decision-making.
Free AccessMNI BRIEF: Canada Commits To Just One Of Three Fiscal Anchors
MNI POLITICAL RISK - Thune Eyes 'Deficit-Negative' Legislation
BRL Remains Anchored by Expected BCB Hawkishness
- Brazilian President Bolsonaro remains in New York for the United Nations conference, at which a member of his delegation has tested positive for COVID. The individual has been placed in isolation, and has confirmed they were not in contact with the President.
- Domestic equity markets closed sharply lower Monday, with the IBOVESPA finishing at the lowest levels since November last year. Judging by US futures and European cash markets, Brazilian equities may see some relief at the open after yesterday's tech and materials led rout.
- BRL selling pressure was relatively contained Monday, with USD/BRL holding below 5.40 and continuing to gravitate toward the 200-dma. Expected BCB hawkishness on Wednesday is likely helping anchor the currency, with implied vol measures holding steady - unlike other LatAm FX.
- Auctions results are due, with the Brazilian Treasury selling 2026, 2030 and 2055 inflation linkers.
- The two-day Copom meeting starts today, with the board going through market and scenario analysis ahead of the decision announcement tomorrow. Full MNI Copom preview can be found here: https://marketnews.com/mni-bcb-preview-september-2021-dial-up-the-hawkishness
- There's no notable economic data due Tuesday, although some attention may be paid to coffee output forecasts, with Conab releasing their 3rd revision of 2021 production at 0900 local time (1300BST / 0800ET).
To read the full story
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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.