The National Consumer Price Index of October changed by 0.75% and doubled in relation to the rate of September (0.35%). With this result, the accumulated IPCA this year is 4.73%...

The National Consumer Price Index (IPCA) of October changed by 0.75% and doubled in relation to the rate of September (0.35%). With this result, the accumulated IPCA this year is 4.73%, a percentage inferior to that relative to the same period in 2004 (5.95%). In the last twelve months the index was 6.36% higher than that of the immediately previous 12 months (6.04%). In October 2004, the monthly rate was 0.44%.

With an impact of 0.18 percentage points gasoline remained as the main individual impact on IPCA. The consumer is now paying 4.17% more, on average, for a liter of fuel. That is a consequence of the 10% readjustment occurred in refineries in September. Even with this significant result impact, gasoline accounted less for the IPCA in October (24%) than in September (40%). In October, as a matter-of-fact, other items also rose significantly, the prices of fuel alcohol rose 10.48%, for instance.

Besides fuels, airplane tickets (11.06%) and urban bus fares (1.10%) caused the expenses with transportation to increase by 2.21% this month, the highest hike among all the groups surveyed. This accounted for 0.49 percentage points, that is, 65% of IPCA. For urban bus fares, the average rise (1.10%) is due to the areas of Salvador (11.35%) and Goiânia (10.0%). Other highlights in the group were the items car repair (1.55%), voluntary insurance (1.20%) and used cars (1.12%).

Still among non-food products (from 0.52% in September to 0.88% in October) it is worth pointing out the importance of salaries of domestic employees (rise of 1.12%, then 1.82% in September), which is still a consequence of the rise of the minimum salary, in May, from R$ 260 to R$ 300. Apparel rose from 0.19% (September) to 0.72% (October), indicating how successful the sales of the spring-summer collection have been. Other items which influenced the monthly rate were health care plans (0.95%), recreation (0.85%) and condominium taxes (0.81%).

Regarding food products, there was interruption of the downward trend which had lasted four consecutive months; the hike was 0.27%. The fall in September (0.25%) already indicated a possible inversion of results, as shown in the table below:

In October, the kilogram of meat and chicken rose by 4.20% and 3.90%, respectively. In the period between harvests, the crisis in livestock caused rises of prices in this subsector. The price of meat was 6.64% higher in Recife, whereas in Curitiba the rise was only 0.90%. Chicken, on the other hand, had its hike in Curitiba (6.04%), whereas in Belém it was 1.47% cheaper. Some products, such as tomatoes (5.82%) also stood out due to high prices.

However, even with the rise of food products over the month, the price of several items fell: "carioca" beans (-8.09%), garlic (-6.85%), potatoes (-6.75%), eggs (-3.56%) and rice (-3.06%).

IPCA by area surveyed

The highest indexes were calculated in Salvador (1.26%) and Goiânia (1.08%), both influenced by urban bus fares, whose impact in the aforementioned areas were 0.73 and 0.30 percentage points, respectively. The rise of urban bus fares (11.33%) in Salvador and in Goiânia (10%) occurred due to the readjustment occurred in October.

The lowest indexes were calculated in Rio de Janeiro (0.34%) and Belém (0.38%).

The IPCA has been calculated by IBGE since 1980. It refers to families with monthly income ranging from 01 to 40 minimum salaries, from whatever source, and encompasses nine metropolitan areas, besides the municipalities of Goiânia and Brasília. For the current measure, prices collected from September 27 to October 26 (reference) were compared with prices in effect between August 26 and September 26 (base).

INPC changed by 0.58% in October

In October, the National Consumer Price Index (INPC) changed by 0.58%, almost three times over the rate of September (0.15%).

The rise is attributed, among other factors, to food products, which account for the most part of family expenses. Food products became 0.28% more expensive in October, whereas, in September, they had become 0.45% cheaper. Urban bus fares, also relevant among family expenses, got 1.67% more expensive due to readjustments occurred in Salvador and Goiânia.

With the result of October, INPC accumulated 4.07% in the year, a figure below the 4.77% calculated in the equivalent period in 2004. In the last 12 months, the index was 5.42%, higher than that of the immediately previous 12 months (4.99%). In October 2004, INPC had changed by 0.17%.

The INPC has been calculated by IBGE since 1979. It refers to families with monthly income ranging from 01 to 08 minimum salaries, with a salary earner as head of the household. It encompasses nine metropolitan areas, besides the municipalities of Goiânia and Brasília. For the current measure, prices collected from September 27 to October 26 (reference) were compared with prices in effect between August 26 and September 26 (base).

The highest indexes by area were calculated in Salvador (1.49%) and Recife (1.26%) Rio de Janeiro (0.16%) and Belém (0.19%) had the lowest results. The table below shows the results area surveyed: