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Brazil's real ends a tad firmer at 1.786/dlr

SAO PAULO: Brazil's real currency closed a tad firmer at 1.786 per dollar on Wednesday as investors determined an expected hike in U.S. interest rates had been factored in, traders said.

"A good good part of the market doesn't believe in an increase of more than 25 basis points," one local trader said.

The U.S. Federal Reserve is due to announce its latest interest rate decisions later Wednesday.

Last week, the real weakened 1.4 percent on fears that a U.S. rates hike would impede investment flows to Brazil.

On Wednesday, the currency firmed a slight 0.2 percent on considerations those investment losses had already been factored into the exchange rate, traders said. Small dollar inflows also helped bolster the real.-Reuters