Brazil Went All-In on Covid Stimulus But Let the Virus Run Wild
Bloomberg 3/16/2021 Andrew Rosati and Martha Beck
(Bloomberg) Brazil spent more money shielding its economy from the pandemic slump than almost any other emerging nation, and quite a few wealthier ones too. It put much less effort into containing the pandemic itself.
That combination is putting the country’s economic policy under growing strain. It’s one reason why Brazil is poised to become the first Group of 20 country to raise interest rates this year. The central bank, which just a few weeks ago was talking about keeping its benchmark at a record-low 2% for a while yet, is now expected to hike it by 50 basis points Wednesday.
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BRASILIA, March 2 (Reuters) - Brazil’s real has suffered more than other emerging currencies as investors adjust to changing liquidity conditions globally, but some of it has not been justified by economic fundamentals, central bank President Roberto Campos Neto said on Tuesday.
Speaking in an online event hosted by Arko Advice and Empiricus, Campos Neto said the central bank has large currency reserves and will continue to act as it sees fit, adding that it remains focused on using all the tools at its disposal to meet it inflation goals.
Campos Neto was speaking on the day the central bank intervened in the spot foreign exchange market selling $2.1 billion as the real hit a three-month low against the dollar, taking its dollar-selling intervention since last Thursday to over $5 billion.
Brazil’s real has suffered more than other emerging currencies as investors adjust to changing liquidity conditions globally, but some of it has not been justified by economic fundamentals, central bank president Roberto Campos Neto said on Tuesday, February 2nd.
BRASILIA Brazil’s real has suffered more than other emerging currencies as investors adjust to changing liquidity conditions globally, but some of it has not…
With public finances threatened, Brazil’s Real has suffered as investors adjust to changing liquidity conditions globally, but some of it has not been justified by economic fundamentals, central bank President Roberto Campos Neto said on Tuesday.