Central Bank of Brazil yet to see effects of tightening cycle
Inflation ‘still shows resistance', July minutes note as bank injects yet more liquidity into economy
The Central Bank of Brazil's (BCB) monetary policy committee (MPC), which held the bank's benchmark interest rate, the Selic, at 11% on July 16, said effects of tighter policy on inflation had "yet to materialise", according to minutes published yesterday.
Inflation "still show[s] resistance," the MPC said. "This development is underpinned by two important relative prices adjustments processes now underway in the economy – the realignment of domestic prices relative to international prices and
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