Brazil’s Economy Grows More Than Expected as Interest Rate Falls

  • Central bankers seen cutting rates for second time in a row
  • Analysts expect economy to grow 2.89% this year, 1.5% next
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Brazil’s economic activity grew slightly more than forecast as central bankers are seen extending their easing cycle with a second straight interest rate cut this week.

The bank’s economic activity index, a proxy for gross domestic product, rose 0.44% in July from the prior month, just more than the 0.40% median estimate from analysts in a Bloomberg survey. From a year ago, the gauge rose 0.66%, according to data published on Tuesday.