Brazil Inflation Rate Edges Higher in May


Consumer prices in Brazil increased by 9.32 percent year-on-year in May of 2016, following April's 9.28 percent growth and above market consensus of 9.29 percent gain. While prices of housing advanced further, cost of food and transportation rose at a slower pace.

Inflation remained well above the central bank's official target of 4.5 percent, pushed up by further rise in cost of housing (+7.62 percent from +7.01 percent in April); while, transport prices (+7.66 percent from +7.98 percent) and cost of food (+12.74 percent from +13.40 percent) went up at a slower pace.

The highest inflation rates were recorded for Fortaleza (+11.01 percent), Porto Alegre (+10.51 percent) and Belém (+9.71 percent), while the lowest rates were recorded for Vitória (+7.58 percent), Campo Grande (+8.19 percent) and Belo Horizonte (+8.31 percent).

On a monthly basis, consumer prices rose by 0.78 percent, accelerating from a 0.61 percent growth in the previous month, boosted by a jump in prices of housing (+1.79 percent from -0.38 percent in April).

Brazil Inflation Rate Edges Higher in May


IBGE | Joana Ferreira | joana.ferreira@tradingeconomics.com
6/8/2016 1:26:27 PM