Brazilian consumer prices rose less than economists forecast in March, while the annual rate exceeded the top of the central bank’s target range for the first time since November 2011. Swap rates fell.
Yields on Brazilian interest-rate futures contracts dropped for a third day on speculation the European debt crisis will prompt policy makers to make deeper cuts to the benchmark rate at the two-day monetary policy meeting beginning today.
Brazil’s central bank set reserve requirements on short dollar positions held by local banks in its third attempt since October to stem a rally in the currency. The real fell for a third consecutive day.