Central Banks

Brazil Analysts See 75 Basis Points in Interest Rate Hikes by December

  • Central bank says it’s data-dependent ahead of rate meeting
  • Analysts see benchmark Selic rising to 11.25% in December

Analysts see consumer price increases at 4.3% by this December and 3.92% at the end of next year.

Photographer: Gustavo Minas/Bloomberg
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Brazil economists raised their interest rate forecasts and now see borrowing costs rising through January, adding to trader bets of a hiking cycle starting as soon as next week.

The benchmark Selic will hit 11.25% by December, up from the prior estimate of 10.5%, according to a weekly central bank survey published Monday. Analysts also lifted their end-2025 borrowing cost estimates to 10.25% from 10%.