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$USDBRL Short Idea - Brazilian Rate Cuts on the Horizon
Entry
4.95
Stop
5.05
Target
4.75
Looking at $USDBRL for a potential short. Copom's hawkish stance is softening, and the market is pricing in rate cuts starting Q3. Inflation is easing, and the government's fiscal situation, while still a concern, is not deteriorating as rapidly. Expecting a move lower towards the 4.70 handle.