Brazil Central Bank Chief Says Tightening Cycle Still Open

• Brazil's central bank governor said on Monday, that the monetary tightening cycle is still open and that policymakers want to preserve their flexibility to digest incoming data and calibrate the appropriate terminal interest rate.
• "We are still discussing the hiking cycle," Gabriel Galipolo said at an event in Sao Paulo. "Flexibility means we are open." The bank's monetary policy committee meets later this month for its next rate decision, after raising the benchmark Selic rate by 50 basis points in May to 14.75%, its highest level in nearly two decades.
• Following last week’s release of official data showing strong first-quarter growth in Latin America’s largest economy, he noted the economy’s unexpected resilience and stressed that policymakers are seeking additional data to confirm whether a sustained trend is emerging.

(Source: Reuters)