Brazil Central Bank Cuts Selic to 13.75%, Signals Further Easing

Brazil's Copom cut the Selic rate by 25bp to 13.75%, aligning with market expectations. The Focus Bulletin projects further cuts to 12.00% in 2027 and 10.50% in 2028, with IPCA inflation at 5.00% for 2026. Analysts see room for more easing due to slowing inflation and activity, signaling a dovish shift.