The Brazilian central bank will auction up to $4 billion in dollar amounts with repurchase agreements over two days to roll over expiring contracts. The auctions are scheduled for 10:30 a.m. to 10:35 a.m., with repurchase dates set for August or September, based on the auction results.
The Brazilian central bank has announced plans to conduct dollar auctions totaling up to $4 billion, with repurchase agreements scheduled for Wednesday and Thursday. On each of these days, a maximum of $2 billion will be offered. These measures intend to roll over contracts that are set to expire on April 2.
This intervention follows the bank’s previous action last month, which also focused on rolling over expiring contracts. Each auction will take place twice daily, during the timeframe of 10:30 a.m. to 10:35 a.m. local time. The corresponding repurchase agreements are slated for either August 4 or September 3, contingent upon the auction outcomes.
In summary, the Brazilian central bank’s plan to auction up to $4 billion through dollar auctions with repurchase agreements signifies its ongoing strategy to manage expiring contracts and stabilize currency operations. Conducted over the course of two days, this measure reflects the bank’s commitment to market stability and liquidity.
Original Source: www.marketscreener.com
