The Extended National Consumer Price Index - IPCA – of July recorded a result of 0.16%, quite near the rate of 0.15% recorded in June. The result of the year closed at 4.04%, above the rate of 3.10% relative to the same period of 2010. Considering the last 12 months, the index was at 6.87% and stayed above the 6.71% relative to the 12 immediately previous months. In July of 2010 the rate was at 0.01%. The complete publication can be accessed at https://www.ibge.gov.br/english/estatistica/indicadores/precos/inpc_ipca/defaultinpc.shtm 

Considering food products, the figure of June (-0.26%) fell to -0.34% in July. Several items became cheaper, mainly tomatoes (-15.2%), which, with its -0.04 percentage points, accounted for the biggest contribution to the decrease of the index, being followed by meat (-1.12%), with -0.03 percentage points. With these figures, the group Food products and Beverages accounted for -0.08 percentage points in the month but, even so, has accumulated increase of 2.77% in the year.

Among non-food products, there was change of 0.31% in July, slightly above the 0.28% of June. 

Although the prices of food products fell even more from one month to the other, fuels (from -4.25% to 0.47%) rose once more. Ethanol, changed from a significant decrease of 8.84% in June to 4.01% in July. It is worth mentioning that the hike of July was distributed among all the areas surveyed. The liter of gasoline rose from -3.94% to 0.15%, in spite of the downward trend observed in most areas, except Salvador (6.86%), Brasília (2.31%), Goiânia (0.21%) and Belém (0.07%).

Considering the hike of fuels, the group Transportation, which had recorded -0.61% in June, reached 0.46% in July. The group also received some contribution from the rise of interstate bus fares (from 0.55% in June to 5.80% in July), considering the average readjustment of 5.00% in effect since July 1^st.  There was also influence of hikes observed in car repair (from 0.95% to 1.52%) and road fees (from 0.00% to 4.62%), besides airplane fares (from 12.83% to 3.20%). Despite facing deceleration, all of them remained on an upward trend.

Also among the hikes, the highlight was the salary of domestic workers, whose change went from 0.33% in June to 1.26% in July. It was the biggest individual impact (0.05 percentage points) on the monthly index. Despite the rise of this item, however, the group Personal expenses (from 0.67% in June to 0.49% in July) recorded a lower intensity of increase. That occurred mainly due to the fall of hair care services

(from 1.09% in June to -1.10% in July) and bank services (from 4.40% to 0.03%).

Expenditure on Housing (from 0.58% in June to 0.27% in July) also rose less significantly, despite the hike of cleaning articles (from 0.63% to 1.08%) and water and sewage fares (from 0.08% to 0.33%), which reflected the readjustment of 7.21%, in effect in Porto Alegre (3.29%) since July 1^st. That has occurred mainly due to the increase deceleration faced by residential rents (from 0.84% to 0.46%), condominium fees (from 0.92% to -0.19%) and manpower for repair (from 0.66% to 0.36%), besides electricity (from 0.45% to 0.21%). 

Considering Health and Personal care (from 0.67% to 0.47%), medicines (from 0.47% to -0.04%) accounted for the significant deceleration, after the readjustment effected in the end of March. 

Besides, other highlights in terms of rate decrease were Household articles (from 0.42% to 0.03%) and Apparel (from 1.25% to 0.10%).

The highest index by area was that of Brasília (0.60%), mainly due to the hike of gasoline (2.31%) with impact of 0.14 percentage pints over the index of the area. Food products (0.18%) also contributed to a higher figure this month. On the other hand, Recife (-0.15%) recorded the lowest figure, due to represented the change of food products (-0.81%) and the fall of gasoline (-2.06%), which represented impact of -0.06 percentage points in the area. 

IPCA has been calculated by IBGE since 1980. It refers to families with monthly income of one to 40 minimum wages, whatever the source, and it encompasses nine metropolitan areas in the country, besides the municipalities of Goiânia and Brasília. In order to measure the index of the month, the prices collected from June 29 to July 27, 2011 (reference) were compared with the ones collected from May 28 to June 28, 2011 (base).

INPC remained stable (0.00%) in July

The National Consumer Price Index–INPC recorded change of 0.00% in July, being 0.22 percentage points below the result of in June (0.22%). As a result, the index accumulated in the year closed the month at 3.70%, above the rate of 3.31% relative to the same period in 2010. Considering the last twelve months, the index was 6.78%, above that of the immediately previous twelve months (6.80%). In July 2010, INPC had been -0.07%.

Food products changed by -0.54% in July; non-food products, by 0.24%. In June, the results were -0.29% and 0.45%, respectively. Among the indexes by area, the highest index was that of Brasília (0.54%) due, mainly, to the rise of gasoline prices (2.31%) and by the better result of food products (0.18%). Belém (-0.22) recorded the lower index, and faced decrease of 0.93% in food products.

 INPC has been calculated by IBGE since 1979. It refers to families with monthly income of one to six minimum wages, with a salaried head of the household, and it encompasses nine metropolitan areas in the country, besides the municipalities of Goiânia and Brasília. In order to measure the index of the month, the prices collected from June 29 to July 27, 2011 (reference) were compared with the ones collected from May 28 to June 28, 2011 (base).