The market expects interest rates to fall to 8.75% by the end of the year, Focus Report reveals

CentralBank

The financial market estimates IPCA inflation below 4.5% and higher cuts to the basic interest rate, the Central Bank of Brazil’s Focus Bulletin disclosed.

With its fourth cut in a row, inflation estimates sent by economists to the Central Bank were cut from 4.12% to 4.10% this year. The target set by the National Monetary Council (CMN) is 4.5%, with a tolerance band of 3% to 6%. The Central Bank of Brazil had not managed to hit its inflation target since 2009. For 2018, analysts did not revise the previous projection, and the forecast remains at 4.5%.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s