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Brazil's central bank announces up to $7 billion in fresh dollar auctions

BY Reuters | ECONOMIC | 12/19/24 05:53 PM EST

SAO PAULO/BRASILIA, Dec 19 (Reuters) - Brazil's central bank will sell up to $3 billion in a spot dollar auction on Friday morning and will offer up to $4 billion in dollar auctions with a repurchase agreement, it said in separate statements on Thursday.

The spot auction will start at 9:15am local time, while two auctions with a repurchase agreement will begin at 10:20am and 10:40am, respectively.

The central bank sold $8 billion in spot dollar auctions on Thursday, including one that was the largest of its kind since the Brazilian currency began floating in 1999.

The intervention helped Brazil's currency to rebound from historic lows, amid financial market turmoil in recent weeks driven by heavy outflows and growing doubts around fiscal policy.

With Friday's deals, the central bank is set to total some $27.75 billion sold in the market through auctions since last Thursday. (Reporting by Andre Romani in Sao Paulo and Isabel Versiani in Brasilia; Editing by Anthony Esposito and Brendan O'Boyle)

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