Brazil Economy Grows Less Than Expected in May Amid High Rates
- Economic activity rose 0.25% on month in May; est. was 0.3%
- Central bankers seen holding interest rates steady at 10.5%
This article is for subscribers only.
Brazil’s economy grew slightly less than expected in May though prior figures were revised up, the central bank’s main gauge of activity showed amid signs that borrowing costs will stay high for longer.
The bank’s economic activity index, a proxy for gross domestic product, rose 0.25% from April, below the 0.3% median estimate from analysts in a Bloomberg survey. Still, April’s monthly growth was revised to 0.26% from 0.01% previously, according to data published on Monday. From a year ago, the gauge gained 1.3%, the report added.