Macroeconomy/Finance

Real below 4.50 per dollar for first time, cenbank intervenes again

Real’s relentless decline continued on Thursday, falling below 4.50 per dollar for the first time ever. The Brazilian currency ended trading at new closing low of 4.4750 per dollar, meaning it has depreciated by more than 10% in just two months. Brazil’s central bank dipped into the currency derivatives market on Thursday for the fourth time this month, selling $1 billion of swaps contracts following Wednesday’s $500 million sale to slow or even reverse the real’s fall. Any relief from its interventions this month has so far proven fleeting.

Source: Reuters