Brazil's real ends flat amid reported intervention
Reuters, Friday, September 04, 1998 at 16:55
SAO PAULO, Sept 4 (Reuters) - Brazil's real ended flat at
1.1780 to the dollar in the commercial foreign exchange market
on Friday amid reported intervention by the Central Bank,
dealers said.
Dealers said Banco do Brasil (SAO:BBAS3) was seen selling
dollars in the market on behalf of the Central Bank in a bid to
prevent the real from weakening. Central Bank officials would
not confirm the reported dollar sales.
The Central Bank was estimated to have sold between $600
million and $1.0 billion amid huge net outflows of the U.S.
currency.
At 1715 local/1815 GMT on Friday, preliminary figures for
commercial and financial forex contracts showed a $1.1 billion
deficit and dealers said it might turn into a larger deficit at
the end of the day when all transactions were registered.
Brazil had already seen a $3.81 billion net outflow from
the commercial and floating exchange rate markets in the first
three days of September, extending the sharp losses seen in
August, dealers said Friday.
In the floating interbank rate market, the real closed at
1.1810 per greenback, down 0.01 percent in the day. In the
parallel market, the real the closed at 1.270 per dollar,
traders said.
Copyright 1998, Reuters News Service |
