Brazil Services Growth Improves On World Cup Boost

Brazil Services Growth Improves On World Cup Boost reports that Brazil’s services sector picked up speed in June, supported by World Cup-related viewing events, hospitality spending, and media activity. According to survey results published by S&P Global, the seasonally adjusted S&P Global Brazil Services Business Activity Index rose to 51.3 in June from 50.4 in May. A reading above 50 signals expansion. S&P Global economics associate director Pollyanna De Lima said the improvement is likely to be short-lived because many firms link the upturn specifically to the tournament. New order intakes rose slightly, with growth in transport, information and communication, and consumer-related services. Meanwhile, finance and insurance, and real estate and business services contracted. Input prices and selling charges increased more strongly, and after four months of job creation, employment fell in June. The composite output index rose to 50.7 from 49.5, signaling a marginal rebound.