Brazil’s central bank cut its key Selic rate by 25 bps to 10.5%, aligning with market expectations. This rate adjustment comes amidst a backdrop of global uncertainties and robust domestic economic activity. The bank highlighted ongoing challenges with disinflation and emphasized the need for caution in future monetary policy adjustments, with a focus on aligning inflation with its target projections of 3.8% for 2024 and 3.3% for 2025.