Brazil Central Bank Holds Rates Steady
Brazil's central bank kept its benchmark interest rate at 13.75 percent following President Lula's election victory. Policymakers ended a run of cuts due to a worsening inflation outlook and fiscal uncertainty.
Brazil's central bank held its benchmark Selic rate at 13.75% on Wednesday, ending a run of cuts amid rising inflation after President Luiz Inacio Lula da Silva's reelection. The unanimous decision by Copom matched expectations from 33 of 48 economists polled by Reuters. The pause signals a cautious monetary pivot as policymakers grapple with mounting fiscal uncertainty and a weakening currency.
