Brazil's IPCA 12-Month Inflation Rises 2.70% in October

Brazilian inflation picked up in October from a year earlier, the second consecutive increase, as housing prices increased.

The country's consumer price index rose 2.7% in the month compared with October 2016, and increased 0.42% from September. In September, the year-on-year increase was 2.54%.

The cost of housing rose 1.33% in October from the previous month, and clothing prices increased 0.71% in the same period. Food prices fell 0.05% in the month.

Even with the faster rate of 12-month inflation in October, price increases are still slower than the central bank's target of 4.5%, with a tolerance range of 1.5% in either direction. The bank cut its benchmark interest rate, the Selic, to 7.5% at the end of October and indicated there could be at least one more cut in the current cycle.

Write to Jeffrey T. Lewis at

(END) Dow Jones Newswires

November 10, 2017 06:36 ET (11:36 GMT)