The Extended National Consumer Price Index (IPCA) of June was 0.67%, and was 0.20 percentage points (p.p.) above the May rate (0.47%). The cumulative change in the year was 5.49% and, in the last 12 months, 11.89%, above 11.73% recorded in the 12 immediately previous months. In June 2021, the change was 0.53%.

All the groups of products and services surveyed recorded positive rates in June. The biggest change was that of Apparel, with an increase of 1.67% and a contribution of 0.07 percentage points. The biggest impact (0.17 p.p) Food and beverages (0,80%). Then come Health and personal care (1.24%) and Transportion (0.57%), with impact of 0.15 p.p. and 0.13 p.p. Housing, which had recorded a decrease of 1.70% in May, went to an increase of 0.41% in June , with an impact of 0.06 p.p. The other groups ranged between 0.09% for Education and 0.55% for Household articles.

The result of Food and beverages (0.80%) was influenced by the rise of food away from home (1.26%). Meals changed from 0.41% in the previous month to 0.95% in June, whereas snacks went from 1.08% to 2.21%. Some items in food away from home (0.63%) also rose, such as long life milk (10.72%) and pinto beans (9.74%), for example. Considering decreases, there was a significant drop in the prices of carrots (-23.36%), which had fallen in May (-24.07%). Prices of other important food products in the basket of Brazilians fell, for example, onions (-7.06%), potatoes (-3.47%) and tomatoes (-2.70%).

In terms of Health and personal care (1.24%), the highlight was health insurance (2.99%), item accounting for the biggest individual impact on the monthly index (0.10 p.p.). The result is a consequence of the price adjustment of up to 15.50% for individual health insurance plan authorized by the National Health Agency (ANS) on May 26, to be in effect from May 2022 up to April 2023. Therefore, the June’s IPCA-15 took into account the monthly fractions related to the months of May and June. Also, prices of pharmaceuticals (0.61%) and and of personal hygiene items (0.55%).

Transportation (0.57%) decelerated from May (1.38%), influenced by the result of fuels (-1.20%). Whereas gasoline prices fell 0.725, the drop of ethanol prices was most significant (-6.41%). On the other hand, oil (3.82%) and vehicle gas rose (0.30%). The biggest change (11.32%) and the main positive impact (0.06 p.p.) in the group came from airfares, whose prices had risen in May (1.33%). In 12 months, airfares had a cumulative increase of 122.40%.

Also in Transportation, the positive change of the subitem urban buses (0.72%) results from readjustments of 11.36% in Salvador (8.86%), made official on June 4, and of 12.50% in Aracaju (6.38%), in effect since May 15. In the capital of Sergipe, prices of intercity buses rose 12.50%, on the same date. As a result, the subitem changed 5.88% in the area (and 1.39% in the national aggregate). Price adjustments in intercity buses were also observed in Salvador (8.46%) and Goiânia (3.59%). In Salvador, the price adjustment of 11.85% was registered on June 10 and, in Goiânia, fares were readjustment between 26% and 27% non the 28th of June.

In Apparel, (1.67%), the highlights were men’s clothing (2.19%) and women’s clothing (2.00%). The came children’s clothing (1.49%) and footwear and accessories (1.21%). All the items in the group recorded a positive change in the month.

The rise of Housing (0.41%) was due to price adjustments of water and sewage rates (2.17%) in some other areas. In Belém (20.81%) adjustment, available since May 28, was 20.81%. In São Paulo (4.25%), prices rose 12.89%, starting on May 10th. In Campo Grande (3.22%), adjustment was of 11.08%, being 5.0% on January 1st and the rest fractioned from May on. In Curitiba (2.97%), readjustment was of 4.99%, starting om May 17.

Also in the group Housing, bottled gas (0.81%) rose in June, due to price adjustments of 9.16% in Curitiba (5.71%), in effect since May 18, and of 5.95% in Rio de Janeiro (0.20%), in force since May 1st. Electricity (-1.07%) fell from May (-7.95%), with an impact of -0.04 p.p. on the IPCA of June.

The green tariff flag has been in force since April 16, a period during which there is no extra charge in electricity bills. Changes in metrolpolitan areas ranged between -3.88% in Goiânia and 1.71% in Aracaju. In the capital of Goiás and in the metropolitan area of São Paulo (-2.38%), ICMS aliquots were redduced, in compliance with Complementary Law 194 and the subsequent incorportation of the federal law into state regulations.

In three areas covered by the index, fares rose: Belo Horizonte (1.65%), by 5.66%, since June 22; Porto Alegre (0.40%), by 8.72% in one of the concessionaries, since June 22; and Curitiba (-1.45%), by 1.95%, since June 24. Despite the price adjustmeny, the result in the capital of Paraná was negative due to the reduction of PIS/COFINS.

All the metropolitan areas recorded positive changes in June. The highest result was that of the metropolitan areas of Salvador (1.24%), influenced by the rise of 4.63% in gasoline prices. The smallest change was registered in Belém (0.26%), due to the fall of acai prices

INPC rises 0.62% in June

The rise of the National Consumer Price Index (INPC) was of 0.62% in June, above the figure in the previous month (0.45%). The cumulative change in the year was 5.61% and, in the last 12 months, 11.92%, above 11.90% recorded in the 12 immediately previous months. The rate had been 0.60% in June 2021.

Food products went from 0.63% in May to 0.78% in June. Non-food products changed from 0.39% to 0.57%.

As for regional indexes, all the 16 areas surveyed recorded increases in June. The lowest result was that of the metropolitan area of Rio de Janeiro (0.12%), influenced by decreases of 1.98% in electricity and of 1.89% in the price of meats. The biggest, on the other hand, took place in the metropolitan area of Salvador (1.22%), which had an impact of increases of 8.86% in urban buses and 4.63% in gasoline.

In order to estimate the index of the month, the prices collected from May 28 to June 29, 2022 (reference) were compared with those in force from April 30 to May 27, 2022 (base).