FX.co ★ Brazil IBC-Br Contracts in June

Brazil’s IBC-Br economic activity index declined 0.6% in June 2026 compared with May, offsetting the 0.1% increase recorded in the previous month and coming in slightly weaker than market expectations of a 0.5% drop. The downturn was led by a 1.4% contraction in industrial output, following a 0.4% rise in May. Services activity also retreated, falling 0.5% after a 0.1% gain in the prior month. The tax index decreased 1%, reversing a 0.1% increase. In contrast, the agriculture and livestock sector rebounded by 1%, after a 1% decline in May. Excluding agriculture and livestock, the IBC-Br fell 0.9% in June. On a year-on-year basis, overall economic activity grew 2.4%.