Monetary policy key to battle Brazil inflation -central bank

Reuters

BRASILIA, Oct 17 (Reuters) - Inflation in Brazil remainsstubbornly high but monetary policy should contribute to slowprice increases through next year, according to the minutes ofthe central bank's most recent rate-setting meeting released onThursday.

The central bank raised its benchmark Selic interest rate forthe fifth straight time last week, keeping the pace of ratehikes steady and giving no signs it was ready to end monetarytightening to battle high inflation.

The bank repeated almost the same language from the previousminutes in a sign that policymakers could extend the rate hikingcycle.

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