According to the mid-month price index (IPCA-15, indice de Precos ao Consumidor Amplo), consumer prices added 0.62% over the same period last month, doubling the 0.31% increase recorded in September. The reading, which overshot market expectations of a 0.55% increase, was driven by an increase prices for food and beverages, which accounts for more than 20% of the index and jumped 1.70% in the period through mid-October. The surge in food prices reflected a temporary supply shock, which was included in the Central Bank's baseline scenario. As a result of the higher-than-expected increase, annual inflation rose to 5.0% in mid-October (September: +4.6% year-on-year). According to the IPCA-15 index, inflation has now exceeded the Central Bank's target rate of 4.5% for two consecutive months. Data for the full month will be released on 9 November. Consensus Forecast participants expect inflation to close the year at 5.2%, which is up 0.1 percentage points from last month's forecast. For 2011, the panel expects inflation to moderate to 5.0%.
Inflation accelerates in October driven by food prices
October 20, 2010
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Brazil Economic News
October 19, 2016
At its 19 October meeting, the Central Bank’s Monetary Policy Committee (COPOM, Comite de Politica Monetaria) decided to cut the benchmark SELIC interest rate for the first time in four years, lowering it from 14.25% to 14.00%.
October 18, 2016
Retail sales (excluding cars and construction) fell 0.6% in August from the previous month in seasonally-adjusted terms.
October 7, 2016
Consumer prices in September increased 0.08% over the previous month, the lowest rise since July 2014.
October 4, 2016
In August, industrial production plunged 3.8% over the previous month in seasonally-adjusted terms, which significantly contrasted the 0.1% expansion recorded in July and marked the worst result since January 2012.
October 3, 2016
The Markit manufacturing Purchasing Managers’ Index (PMI) rose slightly in September, increasing from August’s 45.7 to 46.0.