By Lise Alves, Senior Contributing Reporter
SÃO PAULO, BRAZIL – The consumer prices (IPCA) in Brazil rose by 0.42 percent in October according to the IBGE (Brazilian Statistics Bureau). The rate is less than that registered in September and October of 2013, when both registered an inflation rate of 0.57 percent.
According to Eulina Nunes dos Santos, coordinator of the index at the IBGE, “The main groups which registered a price slowdown in comparison to the previous month are the groups which have the greatest effect on consumers’ lives: food and transport.”
Santos said that although the food and beverage segment registered an increase in October (+0.46 percent), the increase was less than seen in September (+0.78 percent). The segment’s highlight went to meat prices which rose by 1.46 percent in October after surging by 3.17 percent in September.
The transportation group accelerated by 0.39 percent in October after increasing by 0.63 percent in September. The highlight in that segment was air travel that increased by 1.94 percent after surging by 17.85 percent in September. According to the IBGE, housing also increased less in October (0.68 percent) than in September (0.78 percent).
Among the segments, which increased in October, in comparison to September are clothing (0.62 percent), health (0.39 percent), personal expenditures (0.36 percent) and education (0.11 percent).
With the latest inflation report, the IPCA accumulates an inflation rate of 5.05 percent for the year and 6.59 percent for the last twelve months. The twelve-month inflation rate is above the government’s official annual inflation target of 6.50 percent.