High interest rates: the cost of credit tightens in Brazil and the US

Money remains expensive in the two largest markets in the Americas: Brazil cut interest rates but still leads the global ranking of real rates; the US sees mortgage rates hit a one-year high.

In Brazil, the Copom cut the Selic rate to 14% a year on 05/08/2026 — the fourth straight cut and the lowest level since March 2025 (UOL Economia, 05/08/2026; Central Bank — rate history). Even so, Brazil leads the real interest ranking, with a real rate of 9.30% a year (Folha, 05/08/2026). Markets project the Selic at 13.75% by the end of 2026 (XPI — Focus report, 03/08/2026).

In the US, mortgage rates rose to their highest level in a year, amid an economy growing at a sluggish pace and a labor market that surprised with 23,000 job cuts (AP News, August 2026).

The parallel: in both countries, households and small businesses feel expensive credit at the same time — and inflation, although slowing, keeps central banks cautious.

Sources

• UOL Economia — Central Bank cuts Selic to 14% (05/08/2026)
• Central Bank of Brazil — interest rate history (accessed 10/08/2026)
• Folha — Brazil leads real interest ranking after Selic cut (05/08/2026)
• XPI — Focus report: market projects Selic at 13.75% (03/08/2026)
• AP News — mortgage rates rise again; US economy expands at sluggish pace (August 2026)