At the beginning of the day, the euro is trading at the opening at 5.23 Brazilian reais on average, which meant a drop of 2.16% compared to the 5.34 Brazilian reais on average in the previous session.
In reference to the profitability of the last week, the euro accumulates a decrease of 0.22%, for this reason for a year it still maintains a decrease of 13.42%. In relation to the variations of this day with respect to past dates, it inverts the result of the previous day, where it closed with an increase of 0.1%, proving unable to establish a stable trend recently. The volatility of the last seven days is 23.12%, which is a figure well above the annual volatility figure (15.95%), therefore it is presenting a more unstable behavior.
In the annual photo, the euro It has been paid at a maximum of 6.45 Brazilian reais on average, while its lowest level has been 4.97 Brazilian reais on average. The euro it is positioned closer to its minimum value than to its maximum.
Between crisis and uncertainty
The real, or the Brazilian real as it is known internationally, is the legal tender in Brazil and is the twentieth most traded currency in the world and the second in Latin America only behind the Mexican peso.
In force since 1994, the real replaced the “real cruzeiro” and its abbreviation is BRL; It is also the fourth most traded currency in the Americas, behind only the US dollar, the Canadian dollar, and the Mexican peso.
One of the events that has marked the Brazilian currency the most was when in 1998 the real suffered a strong speculative attack that caused its devaluation the following year, going from a value of 1.21 to 2 reais per dollar.
Currently there are coins of 1 and 5 cents of copper, 10 and 25 cents of bronze and coins of 50 cents of cupro-nickel. The one real coin is bimetallic. It should be noted that in 2005 the one cent coins were discontinued, but they are still legal tender.
In the economic branch, the International Monetary Fund (IMF) made a cut of 1.7 percentage points in Brazil’s growth for this 2022, especially due to the deterioration of world conditions between high inflation and the coronavirus pandemic.
It should be noted that the Brazilian economy, the largest in the Latin American region, entered a recession in the second quarter of 2021 and is forecast to remain stagnant throughout 2022.
Due to COVID-19, Brazil was forced to spend more money on stimulus measures (about 12% of GDP) to deal with the pandemic, which ultimately resulted in a budget deficit for 2022.
We recommend you: