Brazil 2027 IPCA impact from El Niño revised up to 0.5pp in Pre-Copom survey

Financial institutions raised their expected impact of El Niño on Brazil's 2027 IPCA to 0.5pp from 0.4pp, per the QPC survey released Wednesday. The revision signals rising inflation expectations ahead of Copom's Selic decision, following a September 16 rate cut. This adds to inflationary pressure, complicating the BC's easing path.