19-05-2025
Galipolo Vow on Higher-for-Longer Brazilian Rates Boosts Bets on Cycle's End
Central bank President Gabriel Galípolo said Brazil needs interest rates to remain at a very restrictive level for longer, boosting investors' bets that policymakers could stop the current tightening cycle at their next meeting in June.
The bank has front-loaded monetary policy and now it's logical to keep it tight for a longer period of time, Galípolo said during an event Monday in São Paulo organized by Goldman Sachs Group Inc.. The governor also said Brazil isn't even close to debating an inflection in monetary policy.