Brazil: Inflation inches up in April, but stays below Central Bank's target
May 10, 2018
Consumer prices in April rose 0.22% over the previous month, above March’s 0.09% rise. April’s reading was below analysts’ forecasts of a sharper 0.28% rise. The acceleration was largely driven by rising prices for health and personal care items, specifically higher medicine prices.
Inflation ticked up in April, coming in at 2.8% (March: 2.7%). Prices pressures remain at a historic low in the country and below the Central Bank’s target of 4.5% plus or minus 1.5 percentage points. Annual average inflation fell to 2.8% in April, the lowest rate in over a decade, from 2.9% in March.
Brazil Inflation Forecast
Panelists participating in the LatinFocus Consensus Forecast see inflation closing 2018 at 3.7%, which is unchanged from last month’s forecast. For 2019, the panel expects inflation of 4.1%.