Samantha Pearson – Financial Times, 04/23/2012
Brazil’s finance minister, Guido Mantega, should have been doing a victory dance around the IMF last weekend rather than threatening further capital controls, it seems.
According to the market, his government is actually winning the currency war. Brazil’s real was trading around 1.88 to the dollar on Monday – roughly its weakest level this year and almost 19 per cent weaker than its recent peak last July.
There was no sign of the central bank in the market on Monday either, which normally intervenes at least once a day to weaken the real by buying dollars.