03/07/2024 – 17:13
On a day when President Luiz Inácio Lula da Silva did not speak out against the Central Bank and the current monetary policy, the dollar finally found room to fall against the real and return to being quoted below R$5.60 reais, amid expectations that the government will actually act to contain the crisis of confidence that has driven up prices in recent weeks.
The spot dollar closed Wednesday quoted at R$5.5693 for sale, down 1.72%. The day before, the currency had closed at R$5.6665, the highest closing value since January 10, 2022. See quotes.
Meanwhile, the Ibovespa, the benchmark index for the Brazilian stock market, closed the day up 0.82%, at 125,804.68 points, its highest closing level since May 21.
Lula took advantage of the ceremony to launch the Safra Plan for family farming to state that fiscal responsibility is a commitment of his government, after the dollar soared in recent days amid market distrust regarding the country’s fiscal situation and discomfort with the president’s statements about the Central Bank.
“We will have an economic policy that will not cause surprise to anyone, we will have an economic policy that will make this country grow, we will continue to transfer income, and at the same time we will continue with the responsibility that we have always had,” said Lula. “Fiscal responsibility is not just a word, it is a commitment of this government since 2003, and we will keep it to the letter,” he added.
Amid upward pressure on the dollar, Lula will meet this afternoon with the Ministers of Finance, Fernando Haddad; and Planning and Budget, Simone Tebet, among others.
#Dollar #falls #sharply #Lula #tone #talks #fiscal #commitment #Ibovespa #rises