Dollar ended Monday at a high, one day after the US announced a quarantine until April 30. Ibovespa on the day also grew by 1.65%.
This Monday, the dollar closes the day on a high, and gains strength against the main international currencies. In Brazil, the commercial dollar grew by 1.52%, beating R$ 5.1810. Greatest value since the 18th of March that the dollar broke its record reaching R$ 5.1960. The tourism dollar closed with an increase of 2.8%, at 5.46 reais.
The Ibovespa also ended at a high of 1.65% to 74,639 points. The highlight was the rise of 10.58% by Eletrobras, after a positive balance.
Oil, however, returned to mark a sharp drop. The barrel of Brent fell 8.9%, reaching US$ 22.27, its lowest value recorded since 2002. The devaluation is a consequence of lower demand for the raw material due to the coronavirus crisis.
At this moment, with the largest economy in the world at a standstill for at least 30 days, doubts about the impacts of covid-19 on the global economy are growing even more. Which causes an increase in demand for security assets, such as the US currency.
According to Jason-Vieira, chief economist at Infinity Asset: “It is not the real that is weak, it is the dollar that is strong. 🇧🇷
The Dxy index, which measures the performance of the dollar against the currencies of the main trading partners of the United States, increased by 0.6%.
Political scenario in Brazil
It is not only the international moment that affects Brazil, there is also the Brazilian political scenario weighing on it. “There is a lot of internal disagreement within the government.” – pointed out Vanei Nagem, an exchange rate analyst at Terra Investimentos.
President Jair Bolsonaro has been presenting a posture in relation to the pandemic that contradicts the recommendations of the Ministry of Health (MS) and the World Health Organization (WHO). Generating recurrent criticism. This Sunday (29), Bolsonaro failed to comply with the guidelines of the Minister of Health, Luiz Henrique Mandetta, and went out to meet supporters, causing crowds in the streets.
Yesterday, two of the posts made by the president's official account where he supported the reopening of stores and the end of social isolation were removed by Twitter for violating the network's rules.
