Not having changed in June, the Extended National Consumer Price Index (IPCA) closed the month at 0.0%, being 0.43 percentage points below the rate of May (0.43%)...

Not having changed in June, the Extended National Consumer Price Index (IPCA) closed the month at 0.0%, being 0.43 percentage points below the rate of May (0.43%). It is the lowest monthly IPCA since June 2006, when there was deflation of 0.21%. With this result, the index accumulated in the year was 3.09%, the same index as in May, above the rate of 2.57% relative to the first quarter of 2009. Considering the last 12 months, IPCA was 4.84%, lower than the index accumulated in the immediately previous 12 months (5.22%). In June 2009, the rate had been 0.36%.

Food products, whose increase is mainly a consequence of climatic problems in the year, accounted for the significant deceleration of IPCA in June. Having changed from 0.28% to -0.90% from one month to the other, the group food products and beverages represented -0.20 of the index, versus a figure of 0.06 percentage points in May. Al the areas surveyed recorded decrease in food products, ranging from -0.31% in Belém to -1.43% in Goiânia.   

Several food products became cheaper when compared to prices in May, for example, potatoes,  which, with prices 23.97% lower, represented the most significant individual contribution in negative terms: -0.09 percentage points. 

Few food products recorded rise in price, and, even in these cases there was reduction of the rhythm of increase. One example is meals out of the home, which changed from 1.15% in May to 0.80% in June and carioca beans, which changed from 12.96% to 2.47%.

The group food products was not the only one to influence the deceleration of the month’s IPCA. Non-food products had lower decrease, and changed from 0.48% in May to 0.27% in June. As shown in the table below, most groups of products and services recorded figures below those in the previous month.

Transportation, with change of -0.21% and contribution of -0.04 percentage points, was affected by the fall of prices of ethanol (from -5.77% in May to -5.41% in June) and gasoline (from 0.01% to -0.76%), besides new cars (from 0.76% to -0.37%) and used cars (from 0.02% to -1.21%). With rising prices, airplane tickets were the highlight in transportation, having become 12.57% more expensive, after having decreased 0.90% in May.

Another highlight, cigarettes, with change of 3.70%, due to new prices by one of the manufacturers, was a highlight in personal expenses; this group changed from increase of 0.75% in May to 0.74% in June, and recorded the main change among the groups, despite the fall of salaries of domestic workers (from 1.12% in May to 0.58% in June).

With 0.04 percentage points each, airplane tickets and cigarettes accounted for the biggest contribution to the month’s IPCA, representing 0.08 percentage points.

Outros itens mostraram menores aumentos de preços de maio para junho, como energia elétrica (de 1,23% para 0,01%), condomínio (de 1,17% para 0,68%) e do grupo vestuário (de 0,91% para 0,58%).

Among the indexes by area, the lowest ones were recorded in the metropolitan areas of Porto Alegre and Curitiba (-0.15% each), affected by the fall of prices of fuels (from -1.26% and -3.81%, respectively). The highest index was that of Brasília (0.38%), due to the increase of 13.44% of airplane tickets, resulting in contribution of 0.16 percentage points.

The table below shows monthly results by metropolitan area surveyed.

IPCA has been calculated by IBGE since 1980. It refers to families with monthly income of 01 to 40 minimum wages from whatever source, and encompasses nine metropolitan areas of Brazil, besides the

municipality of Goiânia, and Brasília. For the calculation of the index of June, prices collected from May 29 to

June 28 were compared to those in effect from April 29 and May 28 (base).

INPC changed -0.11% in June

The National Consumer Price Index (INPC) changed by -0.11% in June, being significantly below the result of May (0.43%); that was the lowest INPC since June 2005, when there was deflation of 0.11%. With this result, the index accumulated in the first six month of the year was 3.38%, much higher than the average rate versus the same period in 2009 (2.75%). In the last 12 months, the index was 4.76%, lower than the 5.31% relative to the immediately previous twelve months. In June 2009 INPC had been 0.42%.

The change of food products was -1.05%, whereas non-food products rose 0.30%. Em maio os resultados haviam sido de 0,34% e 0,47%, respectivamente.

Among the indexes by area, the biggest one was that of Belém (0.15%); the highlight was the rise of price of acai pulp (6.41%), which contributed with 0.15 percentage points to IPCA in this area. The lowest index came from Porto Alegre (-0.28%), mainly due to the fall of prices of potatoes (-28.78%), pasteurized milk (-5.09%) and refined sugar (-9.84%). The table below shows the indexes by area surveyed.

INPC has been calculated by IBGE since 1979. It refers to families with monthly income of 01 to 06 minimum wages and a salaried householder. The index encompasses nine metropolitan areas of Brazil, besides the municipality of Goiânia,

and Brasília. For the calculation of the index of June, prices collected from May 29 to June 28 were compared to

those in effect from April 29 and May 28 (base).