Brazil: Economic activity contracts in December
February 17, 2017
In December, economic activity contracted 0.3% from the previous month in seasonally-adjusted terms, according to the Central Bank’s monthly indicator for economic activity (IBC-Br, Indice de Atividade Economica do Banco Central). The result contrasted November’s 0.1% rise and marked the worst reading in four months. The result came in slightly below market analysts’ expectations of a 0.2% contraction.
On an annual basis, economic activity fell 1.8% in December, which was a minor improvement compared to November’s 2.2% decrease and the highest reading in 18 months. Meanwhile, the trend improved and the annual average variation in economic activity came in at minus 4.3%, which was up from November’s minus 4.7% and the highest reading in a year.
Author: Christopher Thomas, Economist