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Brazil Policy Rate 12.25% in Nov-23

• The Banco Central do Brasil Copom's unsurprising decision to reduce the Selic rate by 50bp is influenced by external adversities like rising US interest rates and domestic economic slowdown indicators.
• Despite the disinflationary trajectory, inflation rates remain above targets, with upside risks stemming from global inflationary pressures and a tighter domestic output gap.
• The Copom advocates a cautious and contractionary monetary policy, with potential similar rate reductions in future, contingent on evolving economic indicators and scenarios.

Brazil Unemployment Rate % 7.7% (consensus 7.7%) in Sep-23

- Brazil's unemployment rate in September 2023 decreased slightly to 7.7% from the previous rate of 7.8%, as expected.
- The current unemployment rate is below both the average rate of the past year and the long-run average, indicating some progress in reducing unemployment.