RIO DE JANEIRO, BRAZIL - Inflation expectations are rising in Brazil, with a growing number of economists raising their 2021 forecasts above the Central Bank's target as strong commodity prices and the persistently weak exchange rate show little sign of turning.
Brazil's real (BRL)remains under heavy pressure as its 4% fall against the dollar so far this year and 30% slump last year are among the steepest of any currency, pushing up the prices of imports and foodstuffs in particular.
Banco Itaú's economics team, led by chief economist Mario Mesquita, on Friday raised its 2021 inflation forecast . . .