29.08.2013 - Brazilís currency intervention: feeding speculation?
Brazilís decision to offer up to $40 billion in currency swaps by year-end has been widely praised as a smart way to stabilize its foreign exchange market. The bold move announced last week, which doubles the amount of outstanding currency swaps in Brazil, has put a lid on the realís sharp depreciation without burning a single dollar of the countryís foreign reserves. It also targeted the source of market stress directly: the need for corporate insurance as companies rushed to futures markets to hedge their dollar-denominated debt...............................................Full Article: Source
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