ZGBR - Central Bank Week In Review 8/3-8/7
The Central Bank of Brazil lowered interest rates 25 basis points to 2%. The release had this interesting caveat (emphasis added):
The Copom believes that the current economic conditions continue to recommend an unusually strong monetary stimulus but it recognizes that, due to prudential and financial stability reasons, the remaining space for monetary policy stimulus, if it exists, should be small. Consequently, possible future adjustments to the current degree of monetary stimulus would occur with additional gradualism and would depend on the perception of the fiscal trajectory, as well as on new information that changes