GDP in the Third Quarter and the Indications for 2018

BRAZIL ECONOMICS - Report 04 Dec 2017 by Affonso Pastore, Cristina Pinotti, Marcelo Gazzano and Caio Carbone

The GDP data for the third quarter showed both continuity and more general recovery of the economy. Besides expansion of GDP for three straight quarters, the results for the first six months were revised upward, suggesting stronger growth for 2017 as a whole, of about 1%. Our projections are that the economy will continue expanding in the coming quarters, led by household consumption, but due to the slow recovery of gross fixed capital formation, GDP growth in 2018 will be weaker than the median of the market projections.

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