LatinNews Daily - 26 November 2024

*Brazil’s central bank (BCB) has released the latest edition of its Focus bulletin, a weekly survey of private sector economists and analysts, which showed annual inflation forecasts of 4.63% for 2024 and 4.34% for 2025. The latest 2024 projection marks a slight decrease from the 4.64% forecast in the previous week’s bulletin and ends a seven-week streak in which the market analysts raised their 2024 forecast every week. However, the latest increase in the figure for 2025 showed a significant rise from the 4.12% forecast from previous week. In addition to increasing the inflation projection for next year, the Focus bulletin also includes a forecast for the country’s benchmark interest rate (Selic). According to the latest edition, economists in Brazil expect the Selic to close 2025 at 12.25%, up from 12.0% projected the previous week. The Selic currently stands at 11.25%, and analysts predict that the BCB will raise the rate again in the next meeting of its monetary policy committee (Copom), which is due to be held from 10-11 December.