BRAZIL: Interest Rate Forecast For 2017 Remains Unchanged At 8%

(RTTNews) - Economists polled by the Brazilian central bank kept unchanged their estimates for the country's benchmark interest rate (Selic) by year-end at 8.00%, after two weekly downward revisions.

Meanwhile, average interest rate estimates for 2017 fell for the second week, to 10.06%, from 10.16% last week.

For 2018, the forecast for the year-end Selic rate remained at 8.00% for the second week in a row, while average interest rate expected next year remained at 8.00%, after three downward revisions.

Meanwhile, the forecast for the central bank's Monetary Policy Committee (Copom) meeting scheduled for this week remained at 9.25%.

That means that economists surveyed by the Brazilian central bank expect the monetary policy committee to cut the benchmark interest rate by one percentage point in July, maintaining the rating cut pace from the last few meetings.

At the end of May, the Brazilian central bank cut its main interest rate by one percentage point, to 10.25% per year - the lowest level since January 2014, when it was at 10%.