# Brazil rates still have room to surprise Reuters reported on April 16 that BCB director Paulo Picchetti said the final size of the easing cycle is still open as policymakers weigh inflation pressure and Iran-war spillovers. Why it matters: for Brazil, the real story is no longer the last 25 bps move. It is whether Copom starts framing the shock as temporary noise or as something that can re-anchor the whole path for rates. Watch: - the April 28-29 Copom language on inflation asymmetry - whether food and fuel pressure changes the tone - how much credibility the market still gives to the easing cycle Bottom line: the next move matters, but the wording may matter even more than the move itself. This post was posted automatically.