Dollar operates without defined direction with international pressure; Ibovespa goes up – Young Pan

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Mood in global markets continues to be impacted by the increase in Covid-19 cases with the spread of the Delta variant

FERNANDA LUZ/AGIF – PHOTOGRAPHY AGENCY/ESTADÃO CONTENTDollar operates without defined direction after strong rally this early week

The main indicators of financial market Brazilian companies operate on Tuesday, 20, pressured by the international scenario amid the increase in cases of Covid-19 with the spread of the Delta variant, considered more transmissible. In domestic news, investors analyze the possible veto of Jair Bolsonaro (no party) to the electoral fund of R$ 5.7 billion and negotiations to change points of the tax reform. Around 11:40 am, the dollar advanced 0.03%, to R$5.252. The exchange rate opened in fall, reversed the signal and reached a maximum of R$ 5,294, while the minimum was R$ 5,232. The currency was R$ 5,250 this Monday, 19, when registering an increase of 2.64% — the biggest daily increase since September 2020. Ibovespa, the main index of the Brazilian Stock Exchange, started the day in a fall and started to rise throughout the morning, operating practically stable, with a rise of 0.24%, at 124,695 points. The previous day’s trading ended with a fall of 1.24%, at 124,394 points – the lowest value since the end of May.

The international scenario is marked by the increase of Covid-19 cases in several countries due to the spread of the Delta variant of coronavirus. The growth in the number of infections could lead to a return to social isolation measures and slow down the global economic recovery process. Uncertainty among investors earlier this week led the Dow Jones, one of the world’s leading indices, to record its lowest since October, while European stocks also had the worst performance since November last year. On the domestic agenda, Bolsonaro indicated that he could veto the increase of the electoral fund to R$ 5.7 billion, after the approval of the Budget Guidelines Law (LDO) of 2022 by deputies and senators last week. Still in Brasília, negotiations between the Ministry of Economy, Congress and economic sectors on the text of the tax reform, mainly in the section that includes a 20% tax on dividends.