RIO DE JANEIRO Aug 19 Brazil's central bank on
Monday offered to sell as much as $4 billion on the spot market
with repurchase agreements, as part of a strategy to stem a
currency rout that has added to inflation concerns.
It was the first time policymakers resorted to dollar sales
on the spot market in about two months. Since then, the central
bank had been intervening in the market with sales of
traditional currency swaps, derivatives that mimic an injection
of dollars in the futures market.
The bank said in a statement it will auction the dollars on
Tuesday with repurchase dates set to Jan 2 and April 1. With the
move, policymakers seek to boost dollar liquidity in the spot
market without reducing the country's foreign reserves.
The real trimmed losses after the announcement
but remained 0.6 percent weaker at 2.4110 per dollar.