Gold prices hit record high above $3,600/oz on rate cut bets, haven appeal
Investing.com -- Brazil’s economic growth slowed to 0.4% quarter-on-quarter in the second quarter of 2025, down from 1.3% in the first quarter, as domestic demand softened.
The Q2 figure aligned with forecasts and represented a year-on-year growth rate of 2.2%, down from 2.9% in the previous quarter.
On the production side, agricultural output, which had surged 12.3% in Q1, contracted by 0.1% in Q2. This decline was offset by improvements in industry and services sectors, which grew by 0.5% and 0.6% quarter-on-quarter, respectively.
Domestic demand showed signs of weakening, with consumer spending growth decelerating from 1.0% to 0.5% quarter-on-quarter. Fixed investment fell by 2.2%, contributing to a decrease in imports. Export growth remained modest at 0.7%.
The first quarter GDP growth figure was revised slightly downward from an original estimate of 1.4% to 1.3%.
The softening in domestic demand is expected to continue in upcoming quarters, while the inflation outlook shows signs of improvement.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.