Global market remains tense due to the effects of coronavirus and increasing deaths, but the dollar closes with a rise of 2.17%
US currency rose 2.17% to R$ 5.1352.
On Monday (23), the dollar closed higher after another day of uncertainty and fears in the global market and reacted. The US currency ended the day up 2.17%, beating R$ 5.1347.
In 2020, the currency's rise reached 28.07%.
The dollar closed down for the second day in a row last Friday, selling at R$ 5.0260.
The market remains tense and expects an improvement in the global economy with the measures being organized by countries to combat the spread of the coronavirus. Investors continue to monitor interventions by the Brazilian Central Bank in the markets.
US Federal Reserve
The Federal Reserve, the central bank of the United States, said it will begin backing an unprecedented set of loans for families, large employers and small businesses. The aim is to try to offset the “severe economic disruptions” that are being generated by the consequences of the coronavirus pandemic.
“We are starting this Monday with another negative morning in international markets,” XP Investimentos said in a note. It cited the fears of various markets regarding the approval of the support package to combat the effects of the coronavirus by the United States Senate.
“There is disagreement about the format of the package and the degree of transparency and freedom of the Treasury to rescue companies,” they said. On Sunday (22) the project was denied after Democrats and Republicans were unable to reach an agreement. For Democrats, the measures aim to help only corporations.
The $1 trillion package is a silver lining for panicked markets that are already pricing in a recession in the world's largest economy.
Markets fall again around the world
The dollar is trading up 2.07%, the R$ is trading at 5.1299; the Bovespa is trading down 6.46%; the New York Stock Exchange (Dow Jones): is trading down 3.83%, the London Stock Exchange is trading down 4.06%. The Madrid Stock Exchange is trading down 4.04%. In Paris, the stock exchange is trading down 3.68%, the Frankfurt Stock Exchange is trading down 2.83%. The Singapore Stock Exchange closed down 7.35%. The Sydney Stock Exchange also closed down 5.62%. In Tokyo, the stock exchange closed up 2.02%. The Shanghai Stock Exchange closed down 3.11% and the Seoul Stock Exchange closed down 5.34%.