Currencies
Brazil Real Gains as Lula Minister Upholds Central Bank Autonomy
- No discussion to change bank’s autonomy law, Padilha says
- Swap rates also fall after Alexandre Padilha’s comments
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Brazil’s real rose and swap rates fell after one of Luiz Inacio Lula da Silva’s cabinet members said the administration will respect a law that gives autonomy to the central bank despite the president’s growing attacks against the monetary authority.
Institutional Relations Minister Alexandre Padilha also told reporters on Wednesday that the government isn’t considering ways to cut short the terms of central bank chief Roberto Campos Neto or any of the bank’s board members, who are now protected by the autonomy law.