There were few surprises from Brazilian policymakers last night as they cut interest rates by 50bps to 10.50% and signalled further easing to come. Despite tentative signs that the economy has picked up a little in recent months, there is nothing here to suggest that rates won’t fall into single-digit territory by the middle of this year – if anything the risks to our forecast for rates to trough at 9.50% lie on the downside.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services