Brazil: the market raises inflation forecast to 5.96% this year

According to the Focus report from the Central Bank, financial market agents expect inflation to remain high this year.

The financial market agents again raised the expectation of inflation for this year to 5.96%, according to the Focus Report of the Central Bank, released on Monday morning (13).

In the last two weeks, analysts predicted that the index would end in 2023 at 5.90%.

Despite the forecast for this year, the financial market expects a fall for the next two years, to 4.02% in 2024 and 3.8% in 2025.

The expected increase in the Gross Domestic Product (GDP) also follows an upward trajectory, with 0.89% – a fourth-week high.

The forecast for the dollar rate remains stable at R$5.25 on average until the end of 2023, and the Selic rate drops to 12.75%.

With information from Gazeta do Povo

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