Brazil’s central bank 1% rate hike, as expected

Banco Central do Brasil hikes its benchmark interest rate to 6.25% from 5.25%.

Headlines via Reuters from the statement (bolding mine):

decision was unanimous
sees rate hike of the same magnitude
at next meeting
in the current phase of rate hike
cycle, this pace of adjustments is best to guarantee the anchoring of
inflation expectations
sees robust economic recovery in the second half of year
baseline scenario and balance of
risks indicate that an interest rate hike cycle should advance into
contractionary territory
elevated fiscal risk creates an
upward asymmetry in the balance of inflation risks
the current pace of rate hikes will
allow the committee to obtain more information regarding the state of
the economy and the persistence of shocks
price increases for industrial
goods have not subsided and should remain a pressure in the short
run.
new round of market discussion
regarding inflationary risks in advanced economies could result in a
challenging environment for emerging economies