Brazilians Increase Spending

Brazilians increased their spending in January, with retail sales month on month up 2.35%, representing a year-on-year increase of 6.54%. This is the first surge in sales in almost five months, perhaps indicating that the continuous cuts in interest rates in recent months are having the desired effect. The next interest rate review by the Central Bank is on April 19, when the Bank is expected to lower rates by around three quarters of a percentage point.