The QPC is distributed to market participants on the Friday before the penultimate week ahead of the Monetary Policy Committee (Copom) meetings. The economic projections and analyses collected through the questionnaire are used to support discussions during these meetings. The next Copom meeting is scheduled for July 29 and 30.
In its QPCs, the Central Bank typically asks for inflation forecasts for the IPCA (Broad Consumer Price Index) and several of its components, which vary from edition to edition. This time, in addition to regular items like gasoline, health plans, and food at home, the BC has added gambling and new car prices to the list.
The BC also maintained a question asking for market estimates on the net impact of the global trade war on Brazil’s inflation — whether it would be inflationary, disinflationary, or neutral.
The latest QPC also includes projections for key labor market indicators, such as the unemployment rate and real habitual earnings. However, a question about output gap estimates, included in the previous edition, was omitted.
Source: Valor Econômico
