According to the mid-month price index (IPCA-15, indice de Precos ao Consumidor Amplo), consumer prices added 0.86% over the same period last month following on a 0.62% increase in mid-October. The reading, which overshot market expectations of a 0.72% increase, was driven by rising food and beverage prices. Food and beverages account for more than 20% of the consumer price index and surged 2.11% in the period through mid-November. The spike in food prices reflects a temporary supply shock, which has quickly passed through to consumer prices in the context of rising wages and historically low unemployment. As a result of the higher-than-expected price increase, annual inflation jumped to 5.5% in mid-November (mid-October: 5.0% year-on-year). According to the IPCA-15 index, inflation has now exceeded the Central Bank's target rate of 4.5% for a third consecutive month. Data for the full month will be released on 8 December.
Inflation continues to accelerate in November as food prices surge
November 23, 2010
Looking for forecasts related to Inflation in Brazil? Download a sample report now.
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.