Brazil: Business confidence hits one-year high in May
June 1, 2016
Business sentiment improved in May, according to the Getulio Vargas Foundation (FGV, Fundaçao Getulio Vargas) business confidence indicator. The index increased a seasonally adjusted 2.2% over the previous month, rising from April’s 77.5 points to 79.2 points. May’s result marked the highest reading since March 2015. Despite the rise, the index remains far below the 100-point threshold and signals that businesses are more pessimistic than optimistic.
According to FGV, firms were notably less pessimistic in May regarding the current and future economic situation. The improvement comes after Dilma Rousseff was forced to step down as president in May amid an ongoing impeachment trial.