The S&P Global Composite PMI for Brazil fell to 48.8 in July 2026 from 50.7 in June, signaling a renewed contraction in private sector activity. Although modest, the pace of reduction was the fastest since October 2025, reflecting a sharper decline in new orders and weaker output, particularly in manufacturing. Firms continued to trim payrolls in response to weak demand, marking a second consecutive monthly decline in employment. Input cost and output price inflation both eased to their lowest levels in four months but stayed high by historical standards. Cost pressures were stronger in services, while manufacturers raised selling prices more aggressively.