Brazil's inflation remained well above the central bank's target range in its mid-July reading, official data showed on Friday, as policymakers gather next week for a meeting at which they are widely expected to hold interest rates at a two-decade high.

Inflation figures released last week in Brazil showed the country had pierced the target ceiling for the first time since the National Monetary Council changed early this year the way the accumulated increase is calculated.

Brazil central bank is likely to keep its base Selic interest rate on hold at 15.% on July 30, keeping its tightest monetary stance.

Brazil's economic growth will stay on track despite the imposition of U.S. tariffs, according to a Reuters poll of economists, but inflation appears at greater risk of worsening if trade negotiations flounder.

With no running water or electricity, she salvages scrap to earn a living and can barely afford chicken. Nearby, 73-year-old retiree Leide Laurentino was cooking drumsticks on a makeshift wood stove.

Brazil central bank slashed their 2026 inflation projection for the first time in over two months, in what may be a positive sign for monetary authorities.

Private economists polled weekly by Brazil's central bank trimmed their 2026 inflation outlook for the first time in over two months, according to a survey released on Monday, in a welcome development for the central bank.

Official data to be published on Tuesday will likely show inflation ran at a 0.33% monthly rate and 5.40% in the 12 months to May, according to median estimates of 19 economists polled June 4-9.