Brazil retail sales fall more than expected in July ahead of rate decision

SAO PAULO, Sept. 15 (Reuters) - Brazil's retail sales fell more than expected in July, data from statistics agency IBGE showed on Tuesday, underscoring the drag of high borrowing costs on consumer spending a day before the central bank is due to announce its latest interest rate decision.

• Sales fell 0.8% in July from June, with six of the eight sectors tracked by IBGE posting losses.
• Economists polled by Reuters had expected a 0.2% drop.
• On an annual basis, retail sales rose 1.2% in July, also short of expectations of a 2.15% increase.
• Brazil's central bank is expected to lower its benchmark interest rate by 25 basis points for the fifth consecutive meeting on Wednesday, to 13.75%, according to a Reuters poll.