Inflation by the IPC-S over 0.50% in the fourth four-week period of April

The Weekly Consumer Price Index (IPC-S) for the fourth four-week period in April rose 0.50% and has accumulated a high of 3.44% in the last 12 months. Of the eight classes of expenses that make up the index, six had an increase in their rates of change in the period.

Unicamp economist and researcher Felipe Queiroz explains how this index affects the trade and services sector and what are the expectations for the coming months. “This acceleration is normal, due to some readjustments that occur in the sector, but we still haven’t noticed anything that will have a significant impact. That is, inflation is at moderate levels: 3.44% is not something for that much in the accumulated in 12 months. With that, our expectation is that, in the next four weeks, depending on the economic situation, there may still be a moderate acceleration”.

The largest contribution to the IPC-S result came from the Health and Personal Care group, whose rate of change changed from 0.91% in the third four-week period of April 2023 to 1.51% in the fourth four-week period of April 2023. the Food, Education, Reading and Recreation, Communication, Clothing and Miscellaneous Expenses groups were discharged. Transport and Housing had a decrease in their rates, with emphasis on gasoline (1.84% to 0.38%) and residential electricity tariff (1.05% to 0.30%).

Economist Carlos Eduardo Oliveira Júnior, from the Regional Economic Council of São Paulo, evaluates the index: “What we can analyze is that some sectors, mainly the services sector, still have inflation above the target and this ends up impacting in general. Service inflation, without a doubt, is the biggest bottleneck we have today,” he explained.

The next calculation of the IPC-S, with data collected until the 7th of May, will be released on the 8th (Monday). The indicator is part of the consumer price index system of the Brazilian Institute of Economics, of the Getúlio Vargas Foundation.

By Brasil 61