Consumer Price Index – Weekly rises 0.60% in the four-week period of May
“The labor market is still heated with the increase in income, work and with more jobs being generated, which increases the demand for products and services leading to price increases”, he adds.
According to the study, the largest contribution to the IPC-S result came from the Education, Reading and Recreation group, whose rate of change changed from -1.05% in the first four-week period of May 2023 to -1.90% in the second four-week period of May of this year.
The Health and Personal Care group also recorded a drop in its rate of change, which went from 1.67% to 1.41%. In this category, it is important to highlight that medicines in general fell from 3.38% to 2.54%.
The groups of transport, communication, housing, miscellaneous expenses, clothing and food presented an increase in their rates of change. Ibre points out that, in these categories, it is worth mentioning the following items: urban bus fare (2.01% to 3.09%), mobile telephone fare (2.27% to 3.74%), water and sewage fee residential (0.12% to 0.84%), lottery games (3.35% to 6.63%), women’s clothing (0.11% to 0.56%) and vegetables (7.14% to 8.37%).
The economist also assesses that although the scenario is still heating up, the market generates signs in some sectors of the brake on sales growth. The scenario is one of good demand for the service and commerce sector, but in a scenario of greater monetary tightening, credit for consumers is reduced and therefore this good moment should last less than expected.
“The restrictive monetary policy, with high interest rates and also signs from the government of greater control of public accounts, should reduce inflation in the coming months, even with projections of a reduction in interest rates at the end of the year because of this”, he explains.
Gomes clarifies that the economic growth projections for this year are lower than last year, also revealing a scenario of economic slowdown in the coming months.
next weeks
Otto Nogami, an economist, explains that Petrobras’ decision to reduce the prices of diesel, gasoline and cooking gas will have an impact on the IPC-S, as they are items that play a large role in the indicator’s calculation.
“It is also important to remember that with the approach of winter, some fruit and vegetable products may increase in price, reducing the benefit of the reduction in fuel prices”, he comments.
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By Brasil 61
