FX.co ★ Brazil’s Industrial Sentiment Hits Lowest Level Since 2020

In July 2025, Brazil's Industrial Entrepreneur Confidence Index (ICEI) experienced a decline, reaching 47.3, compared to 48.6 in June. This decrease points to a growing lack of confidence that has been evident since the beginning of the year. This index level is the lowest recorded since June 2020, a period when the economy was grappling with the effects of the COVID-19 pandemic. The downturn was evident across all index components. The Current Conditions Index decreased by 1.7 points to 42.4, as industrial heads perceived both the Brazilian economy and their own businesses less favorably than they did six months prior. This more negative outlook was not only present but also more widespread compared to June. Additionally, the Expectations Index dropped by 1.2 points to 49.7, dipping below the critical 50-point line and indicating a significant transition from optimism to pessimism, something not seen since January 2023. This growing pessimism is primarily focused on the broader economy, with that particular sub-index at 40.5. Nevertheless, the sentiment concerning individual businesses remains relatively positive, with such confidence holding steady at 54.3.