Brazil c.bank sells most forex swap contracts
SAO PAULO, June 19 (Reuters) - Brazil's central bank sold most foreign exchange swap contracts on offer in an auction on Friday, rolling over a similar batch of paper coming due next month.
The bank sold 7,290 of 12,930 swap contracts on offer, extending maturities coming due on July 1, the central bank said on its Web Site. It sold contracts maturing on Jan. 4, 2010, Oct. 1, 2010, Jan. 3, 2011.
Brazil's currency, the real (BRBY: Quote, Profile, Research), was trading 0.9 percent stronger at 1.956 per U.S. dollar shortly after the sale.
The currency swaps are linked to short-term interest rates and can help prevent extreme swings in the exchange rate by offsetting dollar inflows to the spot market. (Reporting by Jose de Castro; Writing by Elzio Barreto)
© Thomson Reuters 2009 All rights reserved
One Year Later
Mumbai's police paraded past some of the city's landmarks in a show of strength as the city marked the first anniversary of militant raids that killed 166 people Slideshow | Full Coverage
Liberhan Commission Report
The government published a long awaited report, recently leaked, accusing BJP leaders of a role in the 1992 destruction of the Babri mosque in Ayodhya. Full Article
