Tuesday 23 December 2008

Brazil's Real Opens Weaker On Profit Remittances

ue, Dec 23 2008, 12:01 GMT
http://www.djnewswires.com/eu

Brazil's Real Opens Weaker On Profit Remittances

SAO PAULO (Dow Jones)--The Brazilian real opened slightly weaker against the U.S. dollar Tuesday as multinationals companies made last minute end-of-year profit remittances.

The real started trade at BRL2.3950 per dollar on the Brazilian Commodities and Futures Exchange, or BM&F, weaker against the Monday close of BRL2.3900.

Traders said volume will likely be extremely thin Tuesday as there will be no settlement of operations on Dec. 24 and Dec. 25.

Recent months have seen a spate of heavy profit remittances by Brazilian subsidiaries of multinational companies. In many cases, the Brazilian subsidiaries are highly lucrative, with profits sent back to parent companies to cover losses in home operations. Read more

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