Brazil: Inflation eases from highest rate in nearly three years
November 7, 2014
Consumer prices in October increased 0.42% over the previous month. The print was below the 0.57% increase recorded in September and market expectations of a 0.48% rise. The result was driven by a slowdown in food and beverage price increases, as well as in housing.
As a result of the monthly reading, annual headline inflation decreased from 6.7% in September, which had marked the highest rate in almost three years, to 6.6% in October. However, inflation still remains above the Central Bank’s tolerance margin of plus/minus 2.0 percentage points around its target of 4.5%.