MNI BRIEF: BOJ Tankan To Show Slipping Sentiment

MNI: PBOC Net Drains CNY288.1 Bln via OMO Friday

MNI: PBOC Sets Yuan Parity Lower At 7.1848 Fri; -1.64% Y/Y

BRIEF: EU-Mercosur Deal In Final Negotiations - EC

MNI China Daily Summary: Thursday, Dec 5

MNI BRIEF: China Construction Output Slows In November

US EIA:NAT GAS STORAGE -30 BCF TO 3,937 BCF NOV 29 WK

MNI: CANADIAN OCT TRADE BALANCE CAD -0.9 BILLION

MNI: US OCT TRADE GAP -$73.8B VS SEP -$83.8B

MNI EXCLUSIVE: EU-Mercosur Deal Close, But Likely Short-Lived - Officials

AUSTRALIA: 2025 Election Outcome Looking More Uncertain According To Newspoll

© 1982-2024 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

Itaú: Selic On Hold, Vigilant Stance And Alert For Risks

BRAZIL
  • Itaú expect the authorities to keep the Selic benchmark rate stable at 13.75% p.a., in order to ensure inflation convergence to the target in the relevant horizon for monetary policy.
  • According to their estimates, the BCB’s inflation forecasts in the reference scenario will advance slightly across the relevant horizon, to 5.9% from 5.8% in 2022, to 5.0% from 4.8% in 2023 and to 3.0% from 2.9% in 2024.
  • Considering the high level of uncertainty, especially regarding the trajectory for the public accounts, they believe that the committee will reinforce the message, present in the latest communications, of maintaining a vigilant stance in monetary policy, in order to persevere in the disinflation process until the convergence to the targets is achieved, and that it will not hesitate to resume the tightening cycle if the disinflation process does not go as expected or if inflation expectations become unanchored.
  • The committee will likely signal that it still sees a symmetrical balance of risks for inflation, but with an additional caution for the evolution of the fiscal framework in the coming years. In addition, the Copom may also highlight the acceleration of wage dynamics, which could pose risks to the disinflation process.
  • Despite the more benign performance of public accounts at the margin, uncertainty regarding the fiscal framework that will be in place in the coming years may impact inflation expectations in the relevant horizon for monetary policy.
BulletEM BulletEmerging Market NewsHomepage
BulletEM BulletEmerging Market NewsHomepage

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.