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Brazil Economic Activity June 2022

Brazil: Economic activity rebounds in June

Economic activity expanded 0.7% in month-on-month seasonally-adjusted terms in June, which contrasted May’s 0.3% decrease. The result, which largely surprised markets on the upside, pointed to a resilient economy that is weathering the impact of aggressive monetary policy tightening and high inflationary pressures.

On an annual basis, economic activity rose at a more moderate pace of 3.1% in June (May: +3.6% yoy). Still, annual average economic activity growth fell to 2.2% in June (May: +2.7%), pointing to a worsening trend.

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