The Extended National Consumer Price Index (IPCA) recorded change of 0.08% in July, what means significant deceleration over the May rate, 0.36%. With the June result, the lowest since August 2010 (0.04%), the first semester of the year was closed at 2.32%, significantly below the 4.87% relative t the first quarter of 2011. Considering the last twelve months, the index stayed at 4.92%, the lowest since September 2010 (4.70%) and also lower than that of the immediately previous twelve months (4.99%), in a sequence to the downward trend which started from September to October 2011, when it changed from 7.31% to 6.97%. In June 2011, the rate was 0.15%.

The complete publication is available at: https://www.ibge.gov.br/home/estatistica/indicadores/precos/inpc_ipca/defaultinpc.shtm

See below the results by group of products and services surveyed.

The group transportation was the main one accounting for the result of IPCA in June, with -1.185 of change and impact of -0.24 percentage points. The item new cars accounted for the main contribution downwards. That occurred as a consequence the reduction of IPI (taxes on products), in effect since May 21. That led to decrease of 5.48% and impact of -0.19 points. Being affected by new cars, the market of used cars recorded fall of prices by 4.12%, with impact of 0.07 points. Together, they accounted for -0.26 percentage points on the index.

Besides cars, the prices of fuels (from -0.64% in May to -0.51% in June) remained on a downward trend, although more slightly. Ethanol changed by -1.24% (-1.34% in May) and gasoline, by -0.41% (versus -0.52% in May). There was also decrease in the prices of pieces and accessories (from 0.06% to -0.48%), of motorcycles (from 0.50% to -0.42%) and of voluntary insurance (from 1.67% to -0.04%).

On the other hand, public transportation recorded increase. The rates of urban bus fares rose 0.87%, versus 0.07% in the previous month, due to the readjustment of 12.0% which occurred in Salvador (9.60%) starting on June 04, and of 8.00% which occurred in Goiânia (5.88%) starting on May 20. Rise was also recorded by the fares of intercity buses, from -0.10% in May to 0.97% in June, adjusted by 8.00% in Salvador (6.10%) starting on June 12. Air fares (from -10.85% to 0.76%) reversed the significant decrease recorded in the previous month; taxi fares (from 1.16% to 0.89%) remained on an upward trend, but at a lower rate. 

Housing (from 0.80% in May to 0.28% in June), electricity, with -0.675 versus increase of 0.72% in May accounted for an important influence on the monthly index. Several areas recorded decrease of accounts, especially Fortaleza, facing decrease of up to 5.42% due to the reduction of PIS/COFINS/PASEP. Water and sewage fares (from 2.32% to 0.83%) also contributed to the deceleration in the month. The positive highlights were residential rents (from 0.63% to 0.68%), condominium fees (from 0.47% to 0.54%) and manpower for repair (from 1.50% to 0.92%). This third item presented a slighter increase than in the previous month.

In terms of household appliances, there was decrease of 1.02% in June, versus the rise of 0.46% in may and fall in the group household articles, from 0.17% to -0.03%.

There was also deceleration of apparel (from 0.89% in May to 0.39% in June), besides other important items which recorded a lower pace of decrease from may to June, such as medicines (from 0.98% to 0.05%) and domestic workers (from 0.66% to 0.61%).

Consequently, non-food products faced decrease (0.10%) in June, versus increase in May (0.25%).  

As for food products, there was deceleration over May, versus May, and change from 0,73% para 0,68%. The price of beans, which had risen 9.10% in May, fall by1.63% in June. Even so, there was accumulated decrease of 46.82% in the year, considering the lower supply of this product, the harvest of which was damaged due to climate problems, besides the reduction of planted area. Rice also rose less, having changed from 2.11% to 1.01%. The following table presents the main food products with rising results:

Among the indexes by area, the main ones were those of Rio de Janeiro and Belém, both with 0.23%. In Rio de Janeiro, food products (1.28%) recorded the highest rates among the areas surveyed. The index of Belém was influenced by the result of taxi (8.23%), as a consequence of the rise of 15.10% effected on May 16. The lowest index was that of Fortaleza, which recorded decrease of 0.26%, due to the influence of electricity (-5.42%), and reflected the fall of PIS/COFINS/PASEP. See below the table of results by area:

IPCA has been calculated by IBGE since 1980. It refers to families with monthly income of one to forty minimum wages, whatever the source. 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 May 29 to June 28 (reference) were compared with the ones in effect from April 28 to May 28 (base).

INPC changed by 0.26% in June

The National Consumer Price Index (INPC) recorded change of 0.26% in June, being much lower than the may rate of 0.55%. As a consequence, the accumulated index closed the year at 2.56%, below the rate of 3.70% relative to the same period of 2011. Considering the last twelve months, the index was 4.90%, above that of the immediately previous twelve months (4.86%). In May 2011, INPC had been 0.22%.

Food products recorded change of 0.67% in June, whereas non-food products rose 0.11%. In May, the results were 0.89% and 0.42%, respectively.

Among the indexes by area, the highest one was recorded in Salvador (0.82%) considering the water and sewage rates (1.12%), which had average adjustment of 12.89% starting on May 1^st, of urban buses (9.60%), which rose 12.00% starting on June 4, and intercity buses (-0.10%), with rise of 8.00% starting on June 12. The lowest index was that of Fortaleza, which recorded -0.13%, due to the influence of electricity (-5.25%), and reflected the fall of PIS/COFINS/PASEP.

See below the table of results by area:

INPC has been calculated by IBGE since 1979. It refers to families with monthly income of one to six minimum wages, whatever the source. 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 May 29 to June 28 (reference) were compared with the ones in effect from April 28 to May 28 (base).