18 Dec 2014
In Vidigal, one of 24 areas with new police presences, apartment prices have roughly doubled in the past 12 months. Homes are currently valued at about one-third less than in middle-income neighbourhoods in the city.
Our consumer survey detects a pick-up in willingness to spend toward the end of the year, suggesting accelerating growth in retail sales.
As expected, the Selic was left unchanged for a second successive meeting in a unanimous decision.
Our survey of businesses in Pernambuco and Goiás confirms difficulties in hiring and retaining staff, although there are signs that finding educated workers has become easier in recent months.
A lack of confidence has turned the January stock market into a damp squib.
The second half of January also sees monthly releases of credit and unemployment data, along with minutes from the central bank's rate-setting committee.
Although the short-term threat of electricity shortages is fading, commentators have begun to frame Brazil’s reliance on hydroelectricity as a risk rather than a strength.
Local commentators have questioned Brazilian diplomacy towards Venezuela, but their analysis appears exaggerated.