• Categories
  • Archives

Financial Market Forecasts 4.5% Inflation for Brazil in 2006

Brazil’s financial market gives every indication that the Brazilian Broad Consumer Price Index (IPCA) will amount to 4.5% in 2006, in line with the government’s official target, and that it was 0.35% in December, which means a cumulative IPCA of 5.68% in 2005.

This information is part of the Focus bulletin issued today by Brazil’s Central Bank (BC).

The BC’s survey, which is based on interviews conducted every Friday with a hundred market analysts and representatives of financial institutions to detect trends in the major economic indicators, proved accurate in its forecast for inflation in 2005, since the interviews conducted on December 30, 2004, predicted a year-end 2005 IPCA of 5.70%, above the official target of 5.1%, as is now being confirmed.

The rest of the market’s projections for inflation in 2005 were not as accurate. Mainly because the prices that are administered by contract or monitored (fuels, electricity, telephone services, water, sanitation, education, health, and others) rose by more than was expected: 8.80%, rather than 7.09%. The forecast for 2006 is for an increase of 4.50%.

ABr

Tags:

  • Show Comments (0)

Your email address will not be published. Required fields are marked *

comment *

  • name *

  • email *

  • website *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Ads

You May Also Like

Brazil’s Credit Rating Upgrade Felt More Like a Downgrade

Brazil government debt prices eased slightly after a rating agency upgraded Brazil’s credit but ...

Brazilian Makes History in New York, Winning Marathon in Debut Race

Brazilian MarÀ­lson Gomes dos Santos, 29, surprised everybody and made history this Sunday, November ...

Commodity Stocks Push Brazil Down

Brazilian and most Latin American markets closed lower, as ongoing selling in commodity-related stocks ...

Lula Ridicules Free Market and Sees Self as Don Quixote Amid Cassandras

Commenting on the international economic crisis during a trip to Rio, Brazilian president Luiz ...

Iran Tells Brazil It Has Close to US$ 4 Trillion and Is Looking for Deals

Teheran wants to expand its economic relations with Brazil. This according to Iranian ambassador ...

In Brazil, a Husband Can Never Be a Rapist

A study entitled "The Brazilian Women in the Public and Private Spheres" drawn up ...

Brazil Improves Image as Travel Destination

World Tourism Day will be commemorated for the first time in Brazil on September ...

Blacks Become Majority in Brazil, But Power Remains with Whites

The news is out. Brazil, with a population of 191 million people, is no ...

A Brazilian Poet’s Perspective on a Fishy Human Connection

Glauco Ortolano, a Brazilian poet and writer, who teaches college in the US has ...

Now, President’s Son Is Latest Suspect in Brazil’s Corruption Scandal

There seems to be no end to the barrage of accusations against Brazilian President ...