18 April 2013

BRASIL : CBank Raises Benchmark Selic...To 7.5%...In Initial Inflation Fight.


      For the 1st time since July 2011...Brasil's Central Bank raised the Selic...its benchmark interest rate...by 25 bps..to 7.5%.
      Inflation recently has surged past the CBank's ceiling target rate...of 6.5%.
      But many economists say the increase is too timid...a 'hesitant blow'...that only copes with inflation but doesn't tame it.
      Some analysts forecast an 8.5% Selic by year end.
http://www.reuters.com/article/2013/04/18/us-equities-brazil-banks-idUSBRE93H0KS20130418