Consumer prices in Brazil increased 0.32 percent month-over-month in January of 2019, higher than 0.15 percent in December and above market expectations of 0.13 percent. Cost of food and non-alcoholic beverages rose the most (0.9 percent vs 0.44 percent in December), namely carioca beans (19.76 percent), onions (10.21 percent), fruit (5.45 percent) and meat (0.78 percent); followed by personal expenses (0.61 percent vs 0.29 percent), namely trips (6.77 percent), hotels (1.06 percent) and hairdressing (0.69 percent). Also, prices of housing rebounded (0.24 percent vs -0.15 percent), mainly due to cost of residential rents (0.42 percent) and condominium (0.77 percent) while prices of electricity fell less (-0.13 percent). Cost of transport was nearly flat (0.02 percent vs -0.54 percent) as fuels decreased at a slower pace (-2.09 percent). Inflation Rate Mom in Brazil averaged 6.50 percent from 1980 until 2019, reaching an all time high of 82.39 percent in March of 1990 and a record low of -0.51 percent in August of 1998.
Inflation Rate Mom in Brazil is expected to be 0.20 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Inflation Rate Mom in Brazil to stand at 0.30 in 12 months time. In the long-term, the Brazil Inflation Rate MoM is projected to trend around 0.20 percent in 2020, according to our econometric models.