Real, which in recent days has performed higher than peer, embittered the biggest loss among the most relevant currencies on Tuesday (8)
The accelerated gains throughout the afternoon with the intensification of commercial tensions between EE amended on Tuesday (8), the third consecutive trading session in the local market, flirting with closure above the psychological level of $ 6.00. With a maximum of R $ 6,0054, the dollar rose 1.48%, R $ 5,9979 – higher closing value since January 21 (R $ 6,0307). The border already accumulates gains of 5.13% in the first six trading sessions of April. Losses in the year, which came to exceed 8%, are now 2.95%.
The day was negative for emerging currency more linked to China. The real, which in recent days has performed higher than peer, embittered the greatest loss among the most relevant currencies. In the offshore market, Yuan fell to the lowest historical level compared to the dollar, which is bad for commodity exporters like Brazil
Attentions were focused on the deadline given by Donald Trump for China to retreat from retaliatory tariffs, which expired on Tuesday at 1 pm (Brasília). The Chinese did not blink. They kept the rates, stressed that they are ready “fighting to the end” and started dispute against the US in the World Trade Organization (WTO).
The White House then confirmed 50% surcharge on products imported from China from Wednesday (9). As a result, the Asian giant will face a total rate of 104% in US -exported products. The change of barbs raised risk aversion, leading the dollar to exceed the line of $ 6.00.
The currency moderated the gains next and even worked below $ 5.98, but again approached $ 6.00 in the final stretch of business, with increased risk aversion and the fall of the bags in New York. The trigger would have been the statement of White House spokesman Karoline Leavitt that President Donald Trump believes it is possible to make iPhones in the US. Apple produces most of its products in China.
Operators report exit of capital from local assets. Data from B3 show that foreign investors have already removed R $ 3.605 billion from the domestic scholarship in April (until the 4th). In the year, the flow of foreign capital is positive at R $ 7.037 billion. Dollar behavior thermometer compared to a basket of six strong currencies, the dxy index retreated about 0.31 in the late afternoon, below the 103,000 points line, after minimum at 102.753 points. Franco Swiss and Iene, traditional refuges in times of stress, returned part of the gains of recent days.
With the most acute deceleration fears of activity in the US due to the tariff, expectations are growing around monetary relief. CME Group monitoring showed that a reduction in the American basic rate by 25 base points in May began to predominate among investors’ bets.
In the early afternoon, the president of the Federal Reserve (Fed, the US Central Bank) of Chicago, Austan Goolsbee, said there are doubts about “the speed and magnitude” in which the tariff will translate into price increase, but stressed that the feeling of the American consumer “is plummeting”-which generally translates into falling levels of consumption.
Already the president of the Fed of San Francisco, Mary Daly, said there is a “minor concern about light discharge from inflation with tariffs.” Echoing recent speech by US BC President Jerome Powell, Daly said monetary policy is positioned and “modestly restrictive.”
USA-China tension pulls ibovespa to below 124 thousand points
The escalation of commercial tension between the United States and China turbines the thesis that there will be a world economic slowdown, which tends to limit the demand for commodities. In domino effect, actions related to iron ore and oil-with great weight in the Brazilian bag-are highlighted and impaired Ibovespa, which lost the level of 124 thousand points in the afternoon of Tuesday (8).
It offered a fall of 1.32%at 123,931.89 points, after minimum (-1.70%) at 123,454.24 points and maximum (+1.64%) at 127 651.60 points. Financial Giro totaled R $ 27.4 billion. The maximum of the index was in the morning, in the wake of the recovery on Wall Street. The market eagerly awaited the 1st (Brasília) clock, limit imposed by the US for China to remove the 34% reciprocal fare imposed in retaliation on 34% of the US on Chinese products.
However, near the time, China not only did not remove the fare, but said it will “fight to the end” if the Donald Trump government will take the application of overcrowders and started a dispute in the World Trade Organization (WTO) against reciprocal tariffs. Shortly thereafter, Ibovespa played minimal, also following the movement of New York’s bags – which were still tested a recovery.
In retaliation, the US confirmed the application of a 50% surcharge to China, totaling 104% tariffs from Wednesday (9). With this, Ibovespa renewed minimal and the Wall Street rates erased the gains. White House spokeswoman Karoline Leavitt even said in an interview that President Donald Trump “wants to make a deal with China, but doesn’t know how to start.”
The theoretical portfolio has a strong influence on actions linked to China and commodities, and oil has accentuated the low also focusing on the global commercial tension. Vale and CSN on fell over 5%, and Petrobras retreated more than 3% still among blue chips, the financial sector gave in a block.
*With information from Estadão Content
Posted by Carolina Ferreira
