Brazil's inflation seen above target ceiling at end-2016

lunes 23 de noviembre de 2015 06:54 GYT
 

BRASILIA, Nov 23 (Reuters) - Brazil's inflation rate is set
to remain above the top end of the government's target at the
end of 2016, limiting room for interest rate cuts, according to
a weekly central bank survey.
    The median forecast of about 100 economists projected
inflation at 10.33 percent at end-2015 and 6.64 percent at
end-2016. The government's target is 4.5 percent, with a
tolerance margin of 2 percentage points.
    Interest rates are expected to end 2016 at 13.75 percent, up
from a forecast of 13.25 percent in the prior survey. The
benchmark Selic rate is currently at 14.25 percent.
    
 
    
 (pct)                2015                 2016
                      previous   new       previous  new
                      forecast   forecast  forecast  forecast
 Consumer inflation   10.04      10.33     6.50      6.64
 Exchange rate        3.96       3.95      4.20      4.20
 (reais per U.S                                      
 dollar, end-period)                                 
 Interest rate        14.25      14.25     13.25     13.75
 (end-period)                                        
 GDP growth           -3.10      -3.15     -2.00     -2.01
 Industrial output    -7.40      -7.50     -2.15     -2.00
 

    

 (Reporting by Silvio Cascione; editing by Jason Neely)