😖 Capital flight

In partnership with

Good morning! With Brazil still feeling the symptoms of Fernanda Torres fever, the “I’m Still Here” star will have to wait a little longer to know if she’s bagged a Best Actress Oscar nomination. The Academy of Motion Picture Arts and Sciences announced it has extended the voting period due to the devastating and deadly wildfires around Los Angeles. 

Brazil never lost dollars like it did in December

Data from the Brazilian Central Bank showed that investors withdrew a net USD 28.86 billion from the country in December — the lowest monthly net capital flow on record, dating back to 1982. For all of 2024, Brazil's net capital flow stood at a negative USD 18 billion. Only during the pandemic years of 2020 and 2021, when global markets were upended, did Brazil experience lower capital flows.

👉 Why it matters. This flight of capital has severely pressured the Brazilian real (the worst-performing major currency of 2024) and forced the Central Bank to sell off USD 21.6 billion in December — its biggest monthly foreign exchange intervention since 1999, when Brazil adopted a floating exchange rate.

☕ Wake up smarter