Brazil’s real reached its weakest level against the dollar since its introduction in 1994, driven by investor frustration with President Lula’s spending cuts. The currency depreciated by 2.8% to 6.26 per dollar, losing 23% in value this year. Despite government efforts to shore up finances, concerns remain over inflation and economic stability as Congress debates key spending restrictions.
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Bank of Japan holds rates at 0.25%, yen weakens to one month low
The Bank of Japan kept its benchmark interest rate steady at 0.25%, citing the need to evaluate the impact of financial and foreign exchange markets on the country's economic activity and prices. The decision surprised economists who had anticipated a 25 basis point hike, leading to a 0.3% weakening of the yen against the dollar and a 0.74% decline in the Nikkei 225 stock index. The central bank noted a split 8-1 decision, with board...
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