Brazil: Inflation accelerates in October
November 7, 2012
In October, consumer prices increased 0.59% over the previous month, which was broadly unchanged from the 0.57% rise recorded in September and virtually matched market expectations of a 0.58% price increase. The result mainly reflected higher prices for food and beverages. As a result of the monthly price rise, annual headline inflation edged up from 5.3% in September to 5.5% in October, thereby remaining within the Central Bank's target of 4.5% with a tolerance margin of plus/minus 2.0 percentage points. The Central Bank expects inflation to inch down to 5.2% by the end of 2012 and to moderate to 4.8% by the end of 2013, according to its Inflation Report from September.