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Brazil Softens Tightening Path; Colombia Looks Set to Hike

Brazil: BCB Opts For a Softer but Extended Tightening Path

Figure 1: Brazil’s IPCA-15 and Monetary Policy Rate (% y/y)
Brazil’s IPCA-15 and Monetary Policy Rate (% y/y)
Source: Central Bank of Brazil and RGE

The central bank of Brazil (BCB) surprised markets with a softer than expected hike in its April 20 meeting, increasing the monetary policy rate (MPR) by 25 bps to 12%, while a divided consensus[...]

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