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US dollar rises in Brazil amid strong US economic data and oil price surge
The Brazilian commercial dollar rose 1.27% to close at R$ 5.169 on Wednesday, driven by a combination of global and domestic factors. Key drivers included the strengthening of the US dollar internationally, rising oil prices, and uncertainty surrounding the Brazilian electoral landscape. Brent crude oil rose 2.84% to US$ 98.12 per barrel, while WTI rose 1.81% to US$ 92.16.
In the United States, robust economic data, including a September PMI of 58.4, reinforced expectations that the Federal Reserve may maintain high interest rates for a longer period. This led to an increase in US Treasury yields, with the 10-year note surpassing 5% for the first time since 2007. The DXY index, measuring the dollar against a basket of currencies, rose approximately 0.54% to 101.090.
Domestically, the Ibovespa index fell 0.86% to 185,814 points. Market volatility was also influenced by recent election polling, which shows a technical tie between President Luiz Inácio Lula da Silva and Senator Flávio Bolsonaro in a potential second-round runoff.
Entities
AtlasIntel · Brazil · Brent crude · Federal Reserve · Flávio Bolsonaro · Goldman Sachs · Ibovespa · Luiz Inácio Lula da Silva · Petrobras
Claims
What the coverage asserts, and how many sources carry each claim.
- [● 5 SOURCES] The US dollar fell 0.11% against the Brazilian real, closing at R$ 5.10.
- [● 2 SOURCES] A high-ranking official from Tehran suggested the Strait of Hormuz could be reopened in seven days if US military pressure and port blockades are lifted.
- [● 4 SOURCES] The Ibovespa closed at 187,422.92 points, representing a 0.44% increase. minhaseconomias.com.br
- [● 4 SOURCES] Brent crude oil prices fell by 1.09% to US$ 99.25 per barrel. minhaseconomias.com.br
- [● 5 SOURCES] Donald Trump stated that US authorities held a three-hour meeting with an Iranian delegation during the UN General Assembly. minhaseconomias.com.br
- [● 6 SOURCES] Brazilian election polls show a technical tie between Luiz Inácio Lula da Silva and Flávio Bolsonaro. www.spacemoney.com.br · bpmoney.com.br · www.infomoney.com.br
- [● 2 SOURCES] Saudi Arabia has partially resumed operations on the East-West pipeline as an alternative to the Strait of Hormuz.
- [● 4 SOURCES] The Copom minutes noted a deceleration in economic activity and credit, but emphasized the need for a cautious monetary policy due to inflation risks. www.infomoney.com.br · minhaseconomias.com.br
- [● 3 SOURCES] There is a 55.4% probability of a US interest rate hike at the next Federal Reserve meeting on October 28. imprensapublica.com.br · fatoamazonico.com.br · oaltoacre.com
- [● 3 SOURCES] West Texas Intermediate (WTI) crude rose 0.67% to US$ 91.13. imprensapublica.com.br · fatoamazonico.com.br · oaltoacre.com
- [● 3 SOURCES] Brent crude oil prices rose 1.24% to reach US$ 100.48 per barrel. imprensapublica.com.br · fatoamazonico.com.br · oaltoacre.com
- [● 3 SOURCES] The US Federal Reserve recently raised interest rates by 0.25 percentage points, setting the range between 3.75% and 4.00%. imprensapublica.com.br · fatoamazonico.com.br · oaltoacre.com