Dollar Surges As Brazil Still Awaits Fiscal Fix And Ukraine Tensions Flare
Dollar Surges As Brazil Still Awaits Fiscal Fix And Ukraine Tensions Flare . (MENAFN - The Rio Times) The value of the US dollar rose to 5.81 Brazilian reais, driven by anticipation of fiscal policy changes and escalating tensions between Russia and Ukraine.

This marks the ...
América - MenaFN
(MENAFN- The Rio Times) The value of the US dollar rose to 5.81 Brazilian reais, driven by anticipation of fiscal policy changes and escalating tensions between Russia and Ukraine.



This marks the second consecutive day of gains for the American currency against its Brazilian counterpart. The dollar closed at 5.8115 reais, a 0.77% increase from the previous day.



During trading, it reached a peak of 5.8340 reais, a 1.16% rise and close to the year's highest intraday rate. This trend aligns with global currency movements, as evidenced by the DXY index.



The DXY, which measures the dollar against six major world currencies, climbed 0.29% to 106.967 points. This uptick reflects broader economic uncertainties and geopolitical concerns affecting currency markets worldwide.



Domestically, the delay in announcing public spending cuts has contributed to market unease. Rui Costa, the Chief of Staff, stated that the fiscal package draft may be completed this week.







However, President Lula will decide the announcement date. Despite economic challenges, Brazil 's federal revenue saw a real increase of 9.77% in October compared to last year.

Geopolitical Tensions Impacting Currency Markets

The total revenue reached 247.92 billion reais, setting a record for October since 1995. From January to October, revenue totaled 2.182 trillion reais, up 9.69% from 2023.



Internationally, escalating geopolitical tensions have bolstered the dollar's strength. Ukraine reported that Russia launched a new type of missile against the city of Dnipro.



While debates continue about its exact nature, it appears to be a nuclear-capable weapon carrying multiple warheads. Ukrainian authorities claim Russia used an intercontinental ballistic missile, designed for long-range nuclear strikes.



However, US officials suggest it was an intermediate-range ballistic missile. President Zelenskyy stated that experts are investigating the missile's characteristics.



These events highlight the complex interplay between economic policies, geopolitical tensions, and currency markets. As nations navigate these challenges, currency values continue to reflect the underlying uncertainties shaping the global financial landscape.

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2024-11-21
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(MENAFN - The Rio Times) The value of the US dollar rose to 5.81 Brazilian reais, driven by anticipation of fiscal policy changes and escalating tensions between Russia and Ukraine.

This marks the ...
Dollar Surges As Brazil Still Awaits Fiscal Fix And Ukraine Tensions Flare