The Central Bank of Brazil increased its key policy rate by 50 basis points to 11.75% yesterday, but warned markets not to expect many more changes – insisting that additional measures would be deployed "sparingly" from here on out.
This is the second time the central bank has tightened policy in as many months, after it hiked the key rate to 11.25% at the end of October. Most analysts expected another increase this month, though the 50bp jump caught some off-guard.
In its statement announcing t
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