Brazil: Economic activity contracts unexpectedly in October
December 16, 2014
In October, economic activity fell 0.3% over 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 figure contrasted the 0.3% expansion tallied in September and was well below market expectations of a 0.2% increase. In addition, the result marked a four-month low in economic activity.
On an annual basis, economic activity declined 1.2% in October, which contrasted the 0.9% rise tallied in September. Meanwhile, annual average growth fell from 0.6% in September to 0.2% in October, which represented the lowest level since January 2010. Further, the downward trend in economic activity that has prevailed for most of the year, continued..