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Rising dollar and improving demand expectations from China.
Internal factors in Brazil should continue to put pressure on the price of the US currency, given the evolution of political movements that directly affect the Brazilian economy. The analysis is by specialist Ruan Sene, market analyst at Grão Direto. According to him, the next few days could be marked by a further rise in the Dollar.
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“If this scenario is confirmed, the week could see appreciation in Brazilian prices, with the rise of the dollar and the improvement in expected demand from China prevailing. The continued relaxation of Covid-19 restrictions by China could be reflected in an increase in demand for oilseeds, reflected in this week's American export figures. On the other hand, the increase in contamination is also increasing, which brings a little caution to the market”, explains the specialist.
According to Ruan Sene, the proximity of the “Chinese New Year” holiday, on January 22nd, strengthened the expectation of an increase in demand. On the other hand, there may be an increased risk of infections due to crowds during family celebrations.
The North American currency had a week of great fluctuation, closing Friday at R$ 5.28 (+2.13%). “The internal scenario was the main driver of the weekly increase, where the formation of the new government's ministerial team brought names that did not please the market. The possible decision not to extend the exemption from federal taxes on fuels could put pressure on inflation, which could impact future decisions by the Central Bank”, concludes the Grão Direto analyst.
Source: Leonardo Gottems | agrolink
