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Transition Constitutional Agreement Posted as Congress Signs Off Spending Plans

BRAZIL
  • Recall on Wednesday BRL posted impressive gains and led Latam FX higher as markets watched the proceedings in the lower house as lawmakers narrowed in on a vote for the amendment bill. The spending plan was formally approved overnight, with congress approving a proposal that gives the President-elect a further BRL 168bln to spend in 2023.
  • USDBRL remains below the 100-dma at 5.2292, and has shown below the early December lows at 5.1631 (albeit briefly). This opens the 200-dma at 5.1243 for direction.
MNI London Bureau | +44 203-865-3809 | edward.hardy@marketnews.com
MNI London Bureau | +44 203-865-3809 | edward.hardy@marketnews.com

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