BRAZIL: DI Rates Open Mixed On Wednesday

(RTTNews) - The one-day interbank deposit futures rates (DI rates) in Brazil opened mixed. The shorter maturities trade stable, but with a rising trend, tracking the locally traded U.S. dollar and the foreign markets, while the longers ones go through a technical adjustment.

The American dollar rise due to the dovish speech by the chairman of the U.S. Federal Reserve Bank, Jerome Powell, in a testimony before his country's Senate.

The U.S. dollar strengthens reflecting the Fed's optimism about the consistency of the American economy, reinforcing that the monetary policy adjustment should be gradual, impacting the interest rate market, Bradesco's economists wrote in a report.

Near the middle of the session, the January 2019 DI contract rate was stable at 6.715%, while the January 2020 DI rate was at 8.14%, from 8.10% in the previous settlement. The January 2021 DI contract rate was at 9.12, from 9.11%.