Brazil real strongest to dollar since August

Market: Agriculture, Natural gas, Oil products
03/07/25

The Brazilian real closed today at its strongest level since August, prompted by a weakening greenback globally.

The real ended the trading session at R5.41 to the dollar at the end of the session, its strongest since 20 August, when it closed at R5.407. The Brazilian currency has strengthened by almost 5pc to the US dollar over the past 12 months, while it has been gaining ground on the greenback since late December of 2024.

Brazil's central bank raised its target interest rate to the highest since July of 2006 to fight an "adverse and uncertain" global economic scenario.

Back in May of this year, inflation slowed to an annual 5.32pc from 5.53pc in April, according to government statistics agency IBGE.

The DXY dollar index, which tracks the greenback against six other major trading currencies, is near a three-year low, mainly on uncertainty over US president Donald Trump's shifting policies on tariffs and federal spending that have rattled financial markets.

By João Curi

Related news posts

Argus illuminates the markets by putting a lens on the areas that matter most to you. The market news and commentary we publish reveals vital insights that enable you to make stronger, well-informed decisions. Explore a selection of news stories related to this one.

News

18/07/25

Brazil launches climate mitigation strategy plan

Sao Paulo, 18 July (Argus) — Brazil's environment ministry issued a plan to reduce greenhouse gas emissions (GHG) through seven guidelines and mitigation targets that will be measured every three years as of 2024. The strategy is part of a larger project known as Plano Clima that seeks to promote energy efficiency, low-carbon agriculture and cattle raising practices, green hydrogen supply and wider use of renewable fuels. Each of the seven sectors included in the national strategy for mitigation plan issued on Friday will follow specific guidelines with targets, action plans, cost projections, financing pathways, monitoring and assessment. Sectors include agriculture and cattle raising, nature conservation, cities and urban mobility, energy and mining, industry, solid waste and effluents, as well as transport, all aligned with another strategy plan to employ climate adaptation. Mitigation action plans will set targets from 2024-27, 2028-31 and 2032-35, the ministry said. All documents will be available for public consultation from 28 July-18 August. The country's emissions come mostly from deforestation and agribusiness activities, which are ahead of burning fossil fuels in the transport and industry sectors, according to the environment ministry. Early in the week, the US Trade Representative (USTR) launched an investigation to determine if Brazil's illegal deforestation undermines the competitiveness of US timber and agricultural industries . National deforestation fell by 32pc in 2024 from a year before, according to space institute Inpe. But Brazil also scorched an area greater than the size of Italy in 2024 , according to environmental network MapBiomas. Brazil has set a target of ceasing deforestation, both legal and illegal, by 2030, as well as to reach net zero emissions by 2050. By João Curi Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

Find out more

News

Ex-Pioneer CEO no longer wants to join ExxonMobil

18/07/25

News

18/07/25

Ex-Pioneer CEO no longer wants to join ExxonMobil

New York, 18 July (Argus) — After successfully winning his appeal against being barred from joining ExxonMobil's board, shale pioneer Scott Sheffield says he is no longer interested in taking up a seat on the oil major's board of directors. The top US antitrust regulator Thursday overturned a ban on Sheffield being appointed to the board, which was a condition of approving ExxonMobil's $59.9bn acquisition of Pioneer Natural Resources, the company founded by Sheffield which he also led. Under the administration of former president Joe Biden, the US Federal Trade Commission had accused Sheffield of seeking to collude with Opec officials over prices and output, allegations he denied. The agency, which is now in the hands of Republican commissioners, threw out the earlier ruling which it said disregarded decades of precedent. Sheffield welcomed the decision to vacate the agency's prior order, which he said was based on an "utterly unfounded smear campaign" that threatened free speech and important debates around energy policy, before taking aim at ExxonMobil. "Exxon signed a rushed, baseless and illegal order barring me and other Pioneer employees from taking an Exxon board seat," he said in a statement. "In doing so, they effectively broke the commitment they made to me in their merger agreement with Pioneer." John Hess, the chief executive officer of US independent Hess, also had his ban on gaining a seat on Chevron's board reversed by the FTC. Chevron's $53.5bn acquisition of Hess closed Friday after the company prevailed in a dispute over a stake in a Guyanese oil discovery. "We are very pleased with the FTC's unanimous decision," a spokesperson for Chevron said. "Mr. Hess is a highly respected industry leader, and our board would benefit from his global experience, relationships and expertise." ExxonMobil did not immediately reply to a request for comment. By Stephen Cunningham Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

News

Canada eyes Hudson Bay LNG project to bypass US

18/07/25

News

18/07/25

Canada eyes Hudson Bay LNG project to bypass US

Calgary, 18 July (Argus) — In a calculated bid to diversify its natural gas exports beyond the US, Canada is reviving one of its oldest trade routes — through Hudson Bay — with plans for a modern deep-water port and LNG export terminal led by an indigenous-owned consortium. NeeStaNan, a 100pc First Nation initiative majority-owned by Fox Lake Cree Nation, received federal authorization earlier this month from the Canada Energy Regulator (CER) to export LNG from Port Nelson in northern Manitoba. The group is now conducting a feasibility study to develop a multi-functional, year-round port near the historic site on the western shore of Hudson Bay, once a key artery during the country's fur trade era. The project is seen not only as a strategic export initiative but also as a significant act of reconciliation with indigenous peoples that have been marginalized for more than a century. The name "NeeStanNan" translates to "all of us" in the Cree language. "This is about reclaiming our place in Canada's economic future," said Morris Beardy, chief of Fox Lake Cree Nation. "Canada offers a stable, trustworthy political environment and is a natural choice for clean, responsibly produced, competitively priced energy supplies." Canada presently exports roughly 8 Bcf/d (226mn m3/d) of gas to the US by pipeline, which remains its dominant customer. But under prime minister Mark Carney's proposed infrastructure fast-track initiative, or Bill C-5, projects deemed in the "national interest" — including pipelines, railways and ports — would be accelerated to counter rising protectionism in the US and open new corridors to global markets, specifically Europe. On Thursday, the first of three shipments from the newly-commissioned LNG Canada terminal at Kitimat, British Columbia, arrived in South Korea. The second is to arrive in Japan this week. The Port Nelson project represents an about-face for Carney's Liberal Party, whose former leader Justin Trudeau infamously insisted there was "no business case" for exporting Canadian LNG to countries such as Germany, despite assertions from former chancellor Olaf Scholz to the contrary. According to the NeeStaNan website, shipping distances to Rotterdam and other EU ports are shorter than the US Gulf coast. Nelson is considered more favorable than the Port of Churchill, located 150 miles (240 kilometres) to the north and is already utilized for exporting grain, because it offers year-round ice free access to large ocean going vessels. The Port Nelson plan includes the construction of a 94-mile heavy rail spur connecting the site to the existing Hudson Bay Railway near Gillam, Manitoba. NeeStaNan said upgrading the line would enable LNG and other commodities such as potash, ore, grain, and hydrogen — and even crude from Alberta's oil sands — to be shipped directly to tidewater, bypassing bottlenecks in traditional west coast routes. On 8 February, NeeStaNan signed a memorandum of understanding with Northern Prince LNG to evaluate building an LNG terminal at the site, pending the outcome of the study. The study will also explore long-distance pipeline options to Hudson Bay, signaling Canada's renewed commitment to both energy exports and Indigenous-led nation-building. By Shaun Polczer Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

News

Brazil's Bolsonaro put under police surveillance

18/07/25

News

18/07/25

Brazil's Bolsonaro put under police surveillance

Rio de Janeiro, 18 July (Argus) — Former Brazilian president Jair Bolsonaro has been fitted with an ankle monitor after police raided his home in the capital Brasilia, the latest in a series of court-ordered measures that point to a worsening of his legal situation that could deepen tensions between Brazil and the US. Bolsonaro — who is on trial before the supreme court for an attempted coup — has been ordered to remain at home during certain hours and has been banned from social media and from communicating with foreign diplomats and other defendants. The new measures imposed by the court come in the wake of US President Donald Trump's threat to impose 50pc tariffs on imports from Brazil starting 1 August. Trump said the threat is linked to Bolsonaro's prosecution, calling the trial a "witch hunt". In a 47-page court filing, justice Alexandre de Moraes argued that Bolsonaro and his son Eduardo, a federal congressman, sought help from the US government to pressure Brazilian authorities to interfere in the legal process, calling it a "blatant assault on national sovereignty." Eduardo is in the US and has met with Trump several times to lobby in favor of his father. In response to the latest measure, Eduardo called Moraes a "political gangster in robes" who is "trying to criminalize Trump and the US government". In a televised address on Thursday, President Luiz Inacio Lula da Silva called the tariff threat "unacceptable blackmail in the form of threats to Brazilian institutions". His government has set up an inter-ministerial committee to seek a solution to the impending tariffs . Speaking to journalists on Friday morning, Bolsonaro offered to appeal to Trump directly to resolve the issue. He denied attempting a coup or having plans to flee the country. His passport was seized by authorities in February 2024. By Constance Malleret Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

News

Chevron completes Hess takeover after arbitration win

18/07/25

News

18/07/25

Chevron completes Hess takeover after arbitration win

New York, 18 July (Argus) — Chevron is finally able to close its delayed $53bn acquisition of US independent Hess after an arbitration court ruled against ExxonMobil in a dispute over a share of Guyana's vast offshore riches. ExxonMobil argued it had a right of first refusal over Hess' 30pc stake in the giant Stabroek block, the key attraction behind Chevron's proposed takeover of the company, which was seen as vital in addressing concerns over Chevron's long-term growth prospects. An arbitration hearing was heard in private in London in late May after the two sides were unable to agree on a resolution. While ExxonMobil said today that it disagreed with the ruling by the International Chamber of Commerce (ICC) Tribunal, it would respect the arbitration and dispute resolution process. "We welcome Chevron to the venture and look forward to continued industry-leading performance and value creation in Guyana for all parties involved," a company spokesperson said. Chevron confirmed it had closed the acquisition after prevailing in the arbitration battle with its bigger rival. "This merger of two great American companies brings together the best in the industry," Chevron's chief executive officer Mike Wirth said. "The combination enhances and extends our growth profile well into the next decade." ExxonMobil is the operator with a 45pc stake in the Stabroek block off the coast of Guyana, where an estimated 11bn bl of oil equivalent have been discovered over the past decade. Both it and Chinese state-controlled CNOOC, which has a 25pc holding, had asserted pre-emption rights in relation to the Hess stake. Hess and Chevron had argued that such rights of first refusal do not apply in the event of a corporate takeover. The arbitration process had held up the takeover — first announced in late 2023 — which previously won approval from US anti-trust regulator the Federal Trade Commission as well as Hess shareholders. ExxonMobil has argued in the past that little would change if Hess ended up winning the arbitration case and Chevron went on to complete its acquisition. "We have partnerships with Chevron all over the world," ExxonMobil's senior vice-president Neil Chapman said back in May. "It's been no change in terms of how we're working together at all." By Stephen Cunningham Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

Business intelligence reports

Get concise, trustworthy and unbiased analysis of the latest trends and developments in oil and energy markets. These reports are specially created for decision makers who don’t have time to track markets day-by-day, minute-by-minute.

Learn more

Brazil real strongest to dollar since August

Related news posts

Brazil launches climate mitigation strategy plan

Brazil launches climate mitigation strategy plan

Ex-Pioneer CEO no longer wants to join ExxonMobil

Ex-Pioneer CEO no longer wants to join ExxonMobil

Canada eyes Hudson Bay LNG project to bypass US

Canada eyes Hudson Bay LNG project to bypass US

Brazil's Bolsonaro put under police surveillance

Brazil's Bolsonaro put under police surveillance

Chevron completes Hess takeover after arbitration win

Chevron completes Hess takeover after arbitration win

Business intelligence reports

Related Products

Argus Specialised Freight

Argus Specialised Freight

Argus Carbon

Argus Carbon

Argus Low Carbon Hydrogen Strategy Report

Argus Asphalt Forward Curves

Argus AgriMarkets France