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Iron Ore Weighing On Brazilian Real, Copom Minutes/IPCA Tomorrow

BRAZIL
  • In similar vein, a negative backdrop and in particular the weakness in iron ore (4.2% drop in Singapore), are keeping an upward bias for USDBRL, which extends the recovery from 4.84 support. The immediate focus on the local docket will be on tomorrows inflation data as well as the latest Copom minutes. Separately, Brazil's consumer confidence rose to 97 in September from 96.8 in August, according to FGV.
  • Globo reported that the government is seeking to increase the access of private sector workers to lower interest rates on loans, similar to those offered to public servants; measure would be part of a package of changes expected to be announced by the end of the year and aimed at boosting the economy.

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