SAO PAULO Dec 26 Brazil's central bank sold 24
percent of the currency swaps it offered in second auction on
Wednesday, strengthening the country's currency, the real.
The central bank said in a statement it had sold 9,500
contracts maturing on Feb. 1, 2013, of an offer of 40,000.
Earlier in the day the central bank sold 27,500 contracts,
also maturing on Feb. 1, 2013 and out of an offer of 40,000. The
currency swaps are derivatives that emulate the selling of
dollars in the futures markets.
On Wednesday morning, the central bank conducted an auction
to sell up to $2 billion on the spot market with repurchase
agreements, which aims at providing liquidity to the foreign
exchange market at year-end.
Brazil's currency, the real, gained shortly after the
auction and was trading 1.6 percent stronger at 2.0456 reais per