Brasília – The inflation forecast from financial market players in Brazil increased for the seventh straight week. Estimates regarding the Extended National Consumer Price Index (IPCA) climbed from 4% to 4.03%. The information is from the Brazilian Central Bank’s weekly Focus Bulletin, containing the results of a poll covering key economic indicators.
The Gross Domestic Product (GDP) forecast remained the same as last week at 1.55%, after dropping for eight weeks in a row. The 2019 GDP forecast dropped for the fourth time back-to-back, going from 2.50% to 2.50%. The poll’s respondents also see Brazil’s GDP going up 2.50% in 2020 and 2021.
The dollar is expected to end the year at BRL 3.70, up from a prior BRL 3.65, and to end 2019 and 2020 at BRL 3.60. By the end of 2021, respondents believe the US dollar will be selling for BRL 3.70.
Translated by Gabriel Pomerancblum
