SocGen Warns Election, Fiscal Risks Threaten Brazilian Real
Societe Generale's Dev Ashish flags election and fiscal risks weighing on Brazilian assets, with the real underperforming in Latin America.
USDBRLIBOV
Societe Generale’s Dev Ashish flags growing election and fiscal risks as a drag on Brazilian assets. He notes the Brazilian real has underperformed its Latin American peers.
USD/BRL is approaching its 200-day moving average around 5.2042. Brazil’s Bovespa index has also broken below a long-term level, reinforcing the cautious technical picture.
Election-related uncertainty and fiscal concerns remain the key pressure points for the real.
Source: FXStreet Forex News