The Brazilian central bank will conduct dollar auctions totaling $4 billion, with up to $2 billion available each day. This measure is intended to roll over expiring contracts on April 2.
The Brazilian central bank has declared its intention to conduct dollar auctions with repurchase agreements, offering up to $4 billion. These auctions are scheduled for Wednesday and Thursday, with a maximum of $2 billion to be sold on each day. This initiative serves the purpose of rolling over contracts that are set to expire on April 2, as reiterated in a separate statement issued by the bank.
In summary, the Brazilian central bank’s decision to offer $4 billion through dollar auctions highlights its proactive approach in managing currency stability by addressing expiring contracts. The structured approach of scheduling two auctions reflects a methodical strategy to maintain liquidity.
Original Source: www.tradingview.com
