On Aug 5 local time, Brazil's central bank MPC cut the benchmark policy rate to 14%, its fourth consecutive cut and the lowest level in nearly a year. Despite renewed Middle East conflict lifting oil prices and adding inflationary pressure in Brazil, markets expect the easing cycle to continue and price a further cut to 13.75% by end-2026.

2026-08-06

On Aug 5 local time, Brazil's central bank MPC cut the benchmark policy rate to 14%, its fourth consecutive cut and the lowest level in nearly a year. Despite renewed Middle East conflict lifting oil prices and adding inflationary pressure in Brazil, markets expect the easing cycle to continue and price a further cut to 13.75% by end-2026.