Brazil Inflation Eases To 6-month Low

(RTTNews) - Brazil's consumer price inflation moderated further in August to the lowest level in six months, figures from the Brazilian Institute of Geography and Statistics, or IBGE, showed on Wednesday.

The consumer price index climbed 5.13 percent year-over-year in August, following a 5.23 percent rise in July.

Further, this was the lowest inflation rate since February, when prices rose 5.06 percent.

Nonetheless, the inflation rate continued to remain above the central bank's upper tolerance band of 4.5 percent.

Inflation based on transportation softened to 3.31 percent from 3.60 percent. The annual price growth in food and non-alcoholic beverages slowed marginally to 7.42 percent from 7.44 percent. Housing costs also grew 5.03 percent versus 5.44 percent in July.

On a monthly basis, consumer prices dropped 0.11 percent in August, reversing a 0.26 percent rise in July. Moreover, this was the first fall in a year amid lower costs for housing, food, and transportation.