UPDATE 1-Brazil central bank sees rates ‘close’ to lower limit, stresses inflation goal commitment
BRASILIA, June 23 (Reuters) – Brazil’s central bank sees little scope to reduce interest rates much further, with the current record low of 2.25% considered “close” to the level from which additional cuts could fuel financial market instability, according to meeting minutes released on Tuesday.
The minutes of the June 16-17 meeting of the rate-setting committee, known as Copom, showed that while the economic shock from the COVID-19 pandemic is disinflationary and inflation expectations continue to fall, policymakers urged caution in easing much further.
By Jamie McGeever via Reuters