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Brazil's central bank announces $1 billion spot auction, reverse FX swap deal for Friday

BY Reuters | ECONOMIC | 05:42 PM EDT

SAO PAULO, June 25 (Reuters) - Brazil's central bank will hold a spot dollar auction of up to $1 billion on June 26, and a simultaneous reverse foreign exchange swap auction, it said in separate statements on Thursday.

Both deals start at 9:20 a.m. local time (1220 GMT), the central bank said.

A reverse FX swap, which in this case involves up to 20,000 contracts, is equivalent to buying U.S. dollars in the futures market. (Reporting by Andre Romani; Editing by Chris Reese)

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