The chief economist of Institute of International Finance (IIF), Robin Brooks, said on Thursday that foreigners are “enthusiastic” amid the recent appreciation of the real and that Brazilians should be “a little less negative” about the country.
Posting on Twitter, Brooks commented that the real had already accumulated a gain of 2% in the last 48 hours, the best performance among the main emerging currencies, and that even so the currency was still 15% undervalued in relation to the fair value of 4.50 reais calculated by the institute.
“Foreigners are already enthusiastic. What is needed is for Brazilians to become a little less negative in relation to their own country,” stated Brooks.
O future dollar accumulated fall of 2.6% since the close of Tuesday. In this session, the dollar futures contract of B3’s first maturity yielded 1.4%, to lows since July 2, at 5.05 reais. On the spot market, the dollar lost 1.2%.
The general fall of the dollar in this session occurred after the day before the Federal Reserve indicate that it is still in the early stages of the debate on cutting stimuli and reiterate that the inflation higher is transitory and that there is much to improve in the labor market.