AGL 40.10 Decreased By ▼ -0.90 (-2.2%)
AIRLINK 127.80 Decreased By ▼ -0.34 (-0.27%)
BOP 6.60 Decreased By ▼ -0.10 (-1.49%)
CNERGY 4.60 Increased By ▲ 0.08 (1.77%)
DCL 8.58 Decreased By ▼ -0.03 (-0.35%)
DFML 41.40 Increased By ▲ 0.31 (0.75%)
DGKC 86.50 Decreased By ▼ -0.63 (-0.72%)
FCCL 32.13 Decreased By ▼ -1.26 (-3.77%)
FFBL 65.40 Decreased By ▼ -0.01 (-0.02%)
FFL 10.27 Decreased By ▼ -0.20 (-1.91%)
HUBC 110.60 Decreased By ▼ -0.03 (-0.03%)
HUMNL 14.70 Decreased By ▼ -0.60 (-3.92%)
KEL 5.15 Increased By ▲ 0.17 (3.41%)
KOSM 7.15 Decreased By ▼ -0.28 (-3.77%)
MLCF 41.69 Decreased By ▼ -1.30 (-3.02%)
NBP 60.20 Decreased By ▼ -0.22 (-0.36%)
OGDC 194.48 Decreased By ▼ -3.16 (-1.6%)
PAEL 27.95 Decreased By ▼ -1.06 (-3.65%)
PIBTL 7.98 Decreased By ▼ -0.28 (-3.39%)
PPL 150.52 Decreased By ▼ -3.64 (-2.36%)
PRL 27.08 Increased By ▲ 2.08 (8.32%)
PTC 16.08 Decreased By ▼ -0.01 (-0.06%)
SEARL 78.20 Decreased By ▼ -0.25 (-0.32%)
TELE 7.42 Increased By ▲ 0.05 (0.68%)
TOMCL 35.70 Decreased By ▼ -0.39 (-1.08%)
TPLP 7.90 Decreased By ▼ -0.17 (-2.11%)
TREET 15.87 Decreased By ▼ -0.09 (-0.56%)
TRG 52.70 Decreased By ▼ -0.66 (-1.24%)
UNITY 26.65 Decreased By ▼ -0.06 (-0.22%)
WTL 1.28 Increased By ▲ 0.01 (0.79%)
BR100 9,920 Decreased By -52.1 (-0.52%)
BR30 30,751 Decreased By -346.3 (-1.11%)
KSE100 93,225 Decreased By -423.8 (-0.45%)
KSE30 28,885 Decreased By -132.9 (-0.46%)
World

Brazil rate outlook rises, even as inflation expectations hold: central bank survey

  • The average forecast of the benchmark Selic rate at the end of this year rose to 3.25% from 3.00%, and the end-2022 forecast rose to 4.75% from 4.50%.
  • The 2021 outlook is the highest since last June, and the 2022 forecast is the highest since last August.
Published January 11, 2021

BRASILIA: The outlook for Brazilian interest rates over the next two years rose to their highest in several months, a central bank survey of economists showed on Monday, even as exchange rate and inflation expectations held steady.

The average forecast of the benchmark Selic rate at the end of this year rose to 3.25% from 3.00%, and the end-2022 forecast rose to 4.75% from 4.50%, according to the latest weekly 'FOCUS' survey of around 100 economists.

The 2021 outlook is the highest since last June, and the 2022 forecast is the highest since last August.

The Selic rate has been anchored at a record low of 2.00% since August. But against a backdrop of bubbling inflation pressures and fiscal concerns, the central bank indicated late last year that it may begin tightening policy sooner than most economists had predicted.

The FOCUS survey on Monday showed that 2021 inflation expectations held steady at 3.3%, below the central bank's target of 3.75%, and next year's average forecast was unchanged at 3.50%, right on the central bank's goal for the year.

Economists expect the real's exchange rate to end this year at 5.00 per dollar, unchanged from the week before, and ending next year at 4.90 per dollar. It is currently trading at 5.50 per dollar.

Comments

Comments are closed.