Brazil: Inflation unchanged in November
December 6, 2013
Consumer prices rose 0.54% in November over the previous month. The print was just below both 0.57% increase recorded in October and market expectations of a 0.58% rise. Prices rose in all of the categories monitored, with clothing and personal items recording the highest increases. Annual headline inflation remained at the 5.8% tallied in October, marking the lowest point in a year. Inflation is still within the Central Bank's tolerance margin of plus/minus 2.0 percentage points around the target of 4.5%. The Central Bank sees inflation at 5.8% at the end of this year and expects it to ease to 5.7% by the end of 2014. LatinFocus Consensus Forecast participants see inflation closing 2013 at 5.8%, which is down 0.1 percentage points from last month's forecast. For 2014, the panel sees inflation at 5.9%, which is unchanged from last month's projection.
Author: Carl Kelly, Economist