On Monday, the Brazilian dollar opened higher, appreciating by 0.24% to R$ 5.2499 amid a global aversion to riskier assets triggered by the ongoing conflict in the Middle East. This escalation has placed upward pressure on oil prices, with the cost of a barrel surpassing $100 early in the day. Concurrently, in the international markets, the DXY index, which measures the dollar's strength against six other major currencies, advanced by 0.29%.

The rise in the dollar is largely attributed to investors seeking safer assets as fears mount over potential disruptions to energy distribution resulting from the conflict between the United States and Israel against Iran. Recent attacks on oil refineries, coupled with the election of Mojtaba Khamenei, the son of the deceased Ali Khamenei, as the new supreme leader of Iran, have further intensified market anxieties.

Last Friday, the dollar had closed lower, down 0.9% at R$ 5.239, while the Brazilian stock market dipped by 0.6%, closing at 179,364 points. Despite the fluctuations and concerns regarding the US and Israel's involvement in the conflict, the Brazilian market remains vigilant as it navigates through this period of heightened uncertainty in global energy markets.