Brazil Economists Forecast Slower Inflation on Stronger Currency

Brazil economists reduced their 2016 inflation forecast for the first time in seven weeks as they foresee a stronger currency this year and next.

Economists estimate consumer prices will rise 7.27 percent this year, down from the current level of 9.32 percent, according to a central bank survey for the week ending July 1. They also lowered their 2017 year-end inflation forecast for the first time since mid-May, to 5.43 percent. They see the real ending the year at 3.46 per U.S. dollar, from 3.6 the prior week.