Brazil's Industrial Production Unexpectedly Drops Amid Recession
Brazil’s industrial production fell in November for the sixth consecutive month, raising concerns about the extent of the recession in Latin America’s largest economy.
Output fell 0.2% from the month prior, compared with the median estimate for a 0.1% gain from economists in a Bloomberg survey. From a year ago, production was down 4.4%, the national statistics agency reported on Thursday.
Double-digit inflation and aggressive interest rate hikes have sapped momentum from Brazil’s industry and also the nation’s overall post-pandemic recovery. At the same time, problems in global supply chains and extreme weather swings, from droughts to floods, have worsened growth prospects, prompting some economists to warn of an extended recession in 2022.
Read More: Brazil Central Bank Cuts Growth Forecasts for This Year and Next
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