Brazilian stocks increased following the announcement of the government's tax-reduction programme aimed at boosting economic growth. Brazil's benchmark Ibovespa added 2.4% to 58,255.01 when Brazil's central bank decreased benchmark interest rate by 11%. The rest of Latin America also experienced increase in stock prices. Argentina's Merval gained 0.6% to 2,579.03, Mexico's IPC rose by 0.4% to 36,987.69 and Chile's IPSA equity index edged up 0.2% to 4,169.04.