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Higher-for-Longer US Rates Erode Brazilian Real Carry Trade Appeal as Fiscal Risk Persists
CurrenciesJul 27

Higher-for-Longer US Rates Erode Brazilian Real Carry Trade Appeal as Fiscal Risk Persists

Persistent US rate strength and domestic fiscal uncertainty are challenging the BRL's yield buffer, narrowing the carry trade differential.

BRL Under Pressure as Narrowing US-Brazil Yield Spread Erodes Carry Trade
CurrenciesJun 29

BRL Under Pressure as Narrowing US-Brazil Yield Spread Erodes Carry Trade

The Brazilian Real faces pressure near 5.17-5.19 per USD as the BCB's Selic cut to 14.25% and a hawkish Fed squeeze the carry trade differential.