Historic Rate Cut to Record Low Shows Brazil Return to Normalcy.

Central bank set to cut key rate to record of 7% on Wednesday With inflation well within the target range, idle capacity, and fewer price distortions, Goldfajn can bring the country's Selic rate to 7 percent, around half of the level just over a year ago. "For them to raise rates, you'd need a significant change in inflation expectations", said Tony Volpon, former central bank director and current chief economist at UBS Brasil CCTVM SA. [Extracted from the article]