Brazil Boosts Rate by Half-Point Saying Level Is High Enough

Brazil’s central bank raised its key rate by 50 basis points for a sixth straight meeting and signaled that borrowing costs are high enough to slow inflation toward its target.

The bank’s board, led by President Alexandre Tombini, boosted the Selic rate to 14.25 percent Wednesday as forecast by 50 of 58 economists surveyed by Bloomberg. It changed language in the communique for the first time this year, adding that “holding that interest rate level for a sufficiently prolonged period is necessary for the convergence of inflation toward the target at the end of 2016.”

Read More