Brazilian Central Bank to Auction $4 Billion in Dollar Sales with Repurchase Agreements
The Brazilian central bank will auction $4 billion in dollars via repurchase agreements on Wednesday and Thursday, with up to $2 billion available each day, to roll over contracts expiring on April 2.
The Brazilian central bank has announced a commitment to conduct dollar auctions amounting to $4 billion through repurchase agreements. These auctions are scheduled for Wednesday and Thursday, with a limit of $2 billion allocated for each day.
The purpose of these transactions is to roll over contracts that are set to expire on April 2. This intervention follows the bank’s previous actions last month aimed at managing similar contract expirations.
Auctions will occur twice daily, specifically from 10:30 a.m. to 10:35 a.m. local time, with repurchase agreements scheduled for either August 4 or September 3, contingent upon the auction outcome.
The Brazilian central bank’s decision to auction $4 billion in dollars through repurchase agreements reflects its ongoing strategy to manage expiring contracts and stabilize currency markets. The structured schedule for these auctions demonstrates the bank’s proactive approach in addressing financial liquidity as deadlines approach.
Original Source: www.marketscreener.com
