RIO DE JANEIRO, BRAZIL - Disappointment with recent indicators of the Brazilian economy has caused the market to rethink its forecasts. With local economic activity weaker than expected and inflation exceeding estimates, stagflation is being discussed among investors and economists.
The current of Brazilian economists talking about stagflation in 2022 is growing, especially after the semi-disappointing GDP updates.
The second-quarter PÌB released this week contracted 0.1%, while the consensus estimate for the period had been for a rise of 0.2%. On Thursday, September 2, industrial production figures came in lower than expected, falling 1.7% in . . .