INSUBCONTINENT EXCLUSIVE:
This Wednesday marked a significant moment: the U.S
potential changes that could scrap taxes on certain imports under the Green Mobility and Innovation Program.The Brazilian real has steadily
lost ground, depreciating by 9.22% recently
This decline stems from unexpected delays in U.S
Dollar Hits 15-Month High Against the Real
often coincides with the U.S
outperforming other economies.The Federal Reserve may also be battling inflation or geopolitical unrest during such periods
These factors currently suggest a pricier dollar moving forward.A milder rate-cut cycle in the U.S., juxtaposed with clearer signs of easing
inflation in other developed nations, widens the rate differential
This has bolstered the dollar since the year started.The future of the dollar hinges on policy divergences between the Fed and other major
average of 1.5% based on these projections.Brazil Faces Dollar SurgeThis is troubling news for Brazil
5.00 to R$ 5.15 for 2023 and from R$ 5.20 to R$ 5.25 for 2025.The consensus among economists has shifted too, from a 2023 forecast of R$
More pessimistic estimates suggest R$5.40 is possible.Some experts hinted at even stronger end-of-year dollar rates due to seasonal trends
in profit remittances.In 2022, Brazil saw its largest fund outflow in December, totaling $13 billion.This year, however, a positive trade
balance of $4.6 billion has partially cushioned the impact of foreign capital exiting the financial system.
