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USDBRL Bounces Off Technical Support, Oil lower

BRAZIL

A few drivers of the recent bounce in USDBRL off the lows. WTI futures taken a leg lower and trades down 1%, sparking some demand for the Dollar. Technically, USDBRL traded just below our first support point at the 20-day EMA at 5.2777 which holds well for now.


Separately, some pressure back in the rate space with the local curve shifting higher between 8 and 20 basis points. 10-year DI swap rates back to 8% as expectations of some kind of renewed emergency aid grow.

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