USD/BRL heading towards 3.00 in the next months – Danske Bank

Senior Analyst at Danske Bank Morten Helt expects a stronger Brazilian Real in the next months.

Key Quotes

“The Brazilian real continued to rally for the third day as good news came from Brazil’s law makers”.

“President Michel Temer has been given a free hand to push forward economic reforms and improve the country’s fiscal balance”.

“Within the past three days, the USD/BRL has fallen almost 1.5%, supporting our bullish BRL view versus consensus. While Bloomberg consensus expects the USD/BRL to stay at 3.25 in Q4 17, our call has been 3.00 since early August”.