Brazil Inflation Rate Slows to 10.4%

Consumer prices in Brazil increased by 10.36 percent year-on-year in February of 2016 easing from a 12-year high growth of 10.71 percent in January, while staying below market consensus. It was the lowest reading since October 2015, as cost of housing and transportation rose at a slower pace.

Inflation slowed for the first time in five months, as cost of housing (+14.88 percent from +16.46 percent in the previous month) and transport prices (+8.40 percent from +10.10 percent) went up at a slower pace. Meanwhile, prices of food and beverages rose further by 13.19 percent compared to a 12.90 percent growth in January.

The highest inflation rates were recorded for Fortaleza (+11.82 percent), Curitiba (+11.71 percent) and Porto Alegre (+11.45 percent), while the lowest rates were recorded for Vitória (8.94 percent), Belo Horizonte (+9.24 percent) and Campo Grande (+9.79 percent).

On a monthly basis, consumer prices rose by 0.90 percent easing from 1.27 percent growth in the previous month, as cost of food and beverages (+1.06 percent from +2.28 percent in January) and transportation (+0.62 percent from +1.77 percent) increased at a slower pace; while prices of housing dropped (-0.15 percent from +0.81 percent).

Brazil Inflation Rate Slows to 10.4%

IBGE | Joana Ferreira |
3/9/2016 12:55:48 PM