Brazil: Inflation reaches 11-month high in May
June 9, 2014
Consumer prices rose 0.46% in May over the previous month. The print was below the 0.67% increase recorded in April although it came in above market expectations of a 0.38% rise. Eight of the nine categories registered price increases in May, with the strongest increases tallied in household items and health care services. Transports was the only category that registered a monthly drop in prices.
Annual headline inflation inched up from 6.3% in April to 6.4% in May, marking the highest inflation rate since June 2013. Inflation is still within the Central Bank’s tolerance margin of plus/minus 2.0 percentage points around its target of 4.5%.