Brazil’s state-run oil company Petrobras on Friday announced cuts in wholesale gasoline and diesel prices. Petrobras cut its gasoline price 3.2 percent and diesel 2.7 percent. The cuts are part of a new pricing policy based on International Price Parity, which takes into account factors such as world oil prices, domestic refining costs and foreign exchange fluctuations. The price cuts come at a time of cooling inflationary pressures. According to economists, the cuts could help convince the Brazilian Central Bank to reduce interest rates at its next meeting on October 19. The base rate is currently 14.25 percent. Inflation is running a little over 8 percent.
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