20000311

Brazil real at new 9-mth high as dollars flow in

SAO PAULO: Brazil's real currency BRBY firmed slightly on Wednesday to close at a new nine-month high level of 1.74 per dollar, as more dollars flew to Brazil via direct foreign investment, traders said.

Some traders expected the strengthening of the national currency to continue for a while.

"The prospects of a lower trajectory for the dollar are based on expectations of continuing positive dollar flow," said a trader with a major local bank.

Operators said the real could have firmed further if it had not been for market talk that rating agency Moody's would not improve Brazil ratings in the short term. -Reuters