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Deutsche Bank Sees Brazil's Central Bank Cutting Rates by 50bps This Month

BY MT Newswires | ECONOMIC | 03/03/26 12:26 PM EST

12:26 PM EST, 03/03/2026 (MT Newswires) -- On the back of a supportive inflation outlook for the next months and potential spillovers from the elections in H2 2026, Deutsche Bank said it expects Brazil's central bank (BCB) to cut interest rates by 50 basis points at its March meeting.

Deutsche Bank expects BCB to maintain the same pace until Q3 2026, and reduce the rhythm of cuts to 25bps per policy meeting afterwards.

This path would bring the policy rate to 12% by year-end and to 10% by 2027-end, the bank said.

MT Newswires does not provide investment advice. Unauthorized reproduction is strictly prohibited.

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