Dollar today closes higher with a mild exterior and expectations for Copom

The dollar closed slightly higher this Monday (6), recovering some ground after falling sharply last week, with widespread expectations for the Central Bank’s monetary policy meeting on Wednesday, on a relatively positive day for currencies. of commodity exporters abroad.

Given the postponement of interest cuts in the United States, robust domestic activity and rising inflation expectations, XP Investimentos expects the Copom to slow down the pace of cuts to 0.25 pp, reducing the Selic rate to 10.50%.

Download a list of 11 Small Caps stocks that, in experts’ opinion, have growth potential in the coming months and years

What is the dollar exchange rate today?

The spot dollar rose 0.07%, to R$5.073 when buying and R$5.074 when selling. At 5:35 pm (Brasília time), the first-month dollar futures contract advanced 0.01%, equivalent to 5,088 points.

The Central Bank held an auction of up to 12 thousand traditional currency swap contracts in this session for the purpose of rolling over the maturity date of July 1, 2024.

Commercial dollar

Sale: R$5,074

Purchase: R$5,073

Tourism dollar

Sale: R$5,287

Purchase: R$ 5,107

Read more: Types of dollars: find out the main ones and the importance of the currency

The American currency closed the day with a slight recovery, after recording strong losses in the last session, when the payroll came in below expectations, which revived hopes of greater interest cuts in the USA.

In the last two sessions the dollar in cash went from a level close to R$5.20 to the range of R$5.06, with some market agents citing the removal of a certain “exaggeration” in prices after relief brought by the meeting of the Federal Reserve (Fed) and US inflation data last week.

This Monday, the dollar fluctuated within narrow margins, without the strength to reach lower levels or, on the contrary, get closer to 5.10 reais. In the market, the assessment was that investors are now awaiting the Copom’s monetary policy decision, on Wednesday, as there are doubts about what the cut in the Selic base rate will be — 25 basis points or 50 basis points.

Depending on the announcement and, mainly, on the BC’s assessment of the future of the Selic base rate, currently at 10.75% per year, the interest differential between Brazil and abroad could narrow, which would put pressure on the exchange rate.

(Reuters)