Dollar past R$ 3.55, highest rate since 2003
After much turbulence in international markets, the US currency closed out Monday (Aug. 24) at R$ 3.553
After much turbulence in international markets, the US currency closed out Monday (Aug. 24) at R$ 3.553, the highest rate since March 5, 2003.
The hike was driven mostly by the uncertainties about the sturdy Chinese economy and the growth outlook in the global scenario. The Shanghai stock exchange closed today's session down 8.49%, the sharpest plunge in eight years. Shenzhen, the country's second stock market, faced a contraction of over 7%.
Stock markets in Europe, the US, and Latin America were dragged along, facing heavy losses and hitting record lows. Brazil's Bovespa index reached its lowest value since April, 2009. According to analysts, uncertainties surrounding China may lead the Federal Reserve to postpone a rise in US interest rates, which could be implemented in September.
The measures adopted by the Chinese government to warm up the market failed to have an effect. Two weeks ago, the Bank of China devalued its yuan, pulling down stock exchanges worldwide.
*With information from Agência Lusa.
Translated by Fabrício Ferreira
Fonte: Dollar past R$ 3.55, highest rate since 2003
