11.06.2013 - Whose currency can weaken fastest? But at what cost?
In Brazil they just conducted a swap operation to try and support t the currency as the Brazilian real moved to 2.16 intra-day lows before the operation. If they are in trying to support the currency now after spending the last 18 months trying to weaken, this is a bit of cruel irony for Finance Minister Mantega, President Rousseff, and the Brazil Central Bank. Inflation which was not out of control is gaining momentum after a 9% move in the currency in in two months. Now while S&P rating agency and other credit agencies are lowering their outlook for Brazil the government's game plan is uncertain as the market ties their hands...............................................Full Article: Source
Print