Inflation accelerates in June, driven by food, and goes to 11.89% in 12 months
The IPCA (Broad Consumer Price Index), the official inflation in the country, closed June at 0.67%, informed the IBGE (Brazilian Institute of Geography and Statistics) today. There was acceleration in relation to the previous month, when the index was 0.47%. The result was mainly driven by spending on food, which has a strong weight in the index, in addition to the cost of clothing and monthly health plan fees.
In June last year, inflation was 0.53%. In 2022, the IPCA accumulates a high of 5.49% and, in the last 12 months, of 11.89%.
The numbers remain above the Central Bank’s target for inflation this year, of 3.5%, with a tolerance margin of 1.5 percentage points up or down. That is, ranging between 2% and 5%.
The result came in slightly below market expectations. Experts consulted by the Reuters news agency had expected a rise of 0.7% in June, accumulating a high of 11.9% in 12 months.
foods pull high
The biggest impact came from the Food and Beverages group, which rose 0.8% in the month. The highlight was consumption outside the home, with an increase of 0.95% for meals and 2.21% for snacks. The group alone has a weight of 21.26% in general inflation.
Other groups rose more, but food influences the IPCA a lot because spending on food represents a large part of the family budget.
Another factor that influenced the result was the 2.99% increase in health plans, after the ANS (National Supplementary Health Agency) authorized a 15.5% readjustment in individual plans. The health plan had the greatest individual impact on the month’s IPCA (0.10 percentage point.) and boosted the 1.24% rise in the health and personal care group.
All groups were discharged in the month. See below the inflation broken down by group, according to the IBGE:
- Clothing: 1.67%
- Health and personal care: 1.24%
- Transport: 0.57%
- Household items: 0.55%
- Personal expenses: 0.49%
- Food and drinks: 0.48%
- Housing: 0.41%
- Communication: 0.16%
- Education: 0.09%
About the IPCA
The IPCA has been calculated by the IBGE since 1980, refers to families with an income of 1 to 40 times the minimum wage, and covers ten metropolitan regions of the country, in addition to Goiânia, Campo Grande, Rio Branco, São Luís, Aracaju and Brasília.
To calculate the monthly index, prices collected between March 31 and April 29, 2022 (reference) were compared with prices in force between February 26 and March 30, 2022 (base).