11 October 2012

BRASIL : CBank Slices Benchmark Again; Now 7.25%.


     The Tombini led central bank again dropped its benchmark rate...by 25 bps...to 7.25%...a  historic new low.
     It was the 10th rate drop since August 2011...but the vote was not unanimous.
     The Cbank recently lowered its 2012 GDP estimate...to 1.6%...from 2.5%.
     Some government optimists had predicted 3.0% growth this year.
     Brasil's 12-month inflation is currently pacing at 5.28%...higher than the 4.25% target.