Brazil just cut rates again — fourth meeting in a row, down 25 bps to 14%.
Still insanely high by global standards, but they're moving in the right direction. Shows inflation pressures easing enough for them to start normalizing.
Reminder: when rates are this elevated, even small cuts can matter a lot for local borrowing costs and currency flows. Emerging markets don't get the luxury of starting from 2% like the US or Europe.
Keep an eye on this if you're invested in EM debt or equities. Rate trajectory matters more than the absolute level sometimes.
Still insanely high by global standards, but they're moving in the right direction. Shows inflation pressures easing enough for them to start normalizing.
Reminder: when rates are this elevated, even small cuts can matter a lot for local borrowing costs and currency flows. Emerging markets don't get the luxury of starting from 2% like the US or Europe.
Keep an eye on this if you're invested in EM debt or equities. Rate trajectory matters more than the absolute level sometimes.