Temporary relief? Understand why Powell's speeches improved market sentiment Rising American interest rates have been, in recent months, the main detractor of the real Ibovespa and DIs The main monetary authority of the United States, the president of the Federal Reserve Jerome Powell, was responsible for providing relief for the Brazilian Stock Exchange, for the dollar and for interest rates this Wednesday (3). After speeches considered “less harsh” during an event at the Stanford Graduate School of Business, the market reacted positively both abroad and in Brazil. Alexandre Mathias, chief strategist at Monte Bravo, mentions that Powell signaled that the Fed continues to see that the inflation trajectory is downward and that the monetary policy adopted is working – despite having also said that the institution needs a little more time to confirm that the interest rate cut cycle can begin. “The idea is reiterated a little that the horizon has cuts of around 75 points this year. T...
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