THE US dollar appreciated again and the currency rose this Friday, with an increase of 1.75%, quoted at R$ 5.29. Check here the dollar today.
THE dollar It is the official American currency and a reference for the world economy.
In this sense, governments and large companies use the currency in economic transactions, such as import and export.
Now the price value of dollar is determined according to the supply and demand negotiations that are carried out throughout the day.
But why is the US currency soaring at the moment? We’ll explain below.
Dollar scenario today?
Here in Brazil, one of the issues at the moment is inflation.
This is because rumors say that the country's economic team is evaluating an early review of the country's inflation targets.
The meeting to discuss inflation targets for 2026 is scheduled for June, however, it may be brought forward by the government.
Therefore, we need to keep an eye on the movement of the American market as well, with the rise and fall of interest rates.
There are a few reasons why dollar vary so much, but we can highlight 3 points:
- Trade deficit: This is when Brazil imports more than it exports. As a result, the supply of dollars falls and this pushes the currency's value up.
- Interest in the United States: When US interest rates rise, there is a tendency for investors in Brazil to take their money abroad. This happens because the yields there are higher.
- Expenses abroad: This is determined by the number of Brazilians outside the country, which generates a greater purchase of dollars that will be spent abroad.
It may be a little complicated to understand, but it is not.
Just know that the variation of dollar It does interfere in the lives of Brazilians. After all, when the currency is high, it is more difficult to travel abroad.
And to learn more about this subject and many others, just keep following the Digital Insurance.
Until later!