Brazilian inflation took another surprising turn in March, with the monthly rate near zero and the annual price spiral declining to a level well below government targets. Monthly inflation in March was 0.09%, down from 0.32% in February, the Brazilian Census Bureau (IBGE) said Tuesday. The 12-month rate declined to 2.68% as of March from 2.84% the previous month. The government’s target for 2018 inflation is a range of 3.0% to 6.0%. With inflation now running consistently below the target range, economists are expecting more cuts to Brazilian interest rates. The country’s base rate is currently 6.5%. In March, fuel prices declined while some services rose. Food and consumer goods prices were broadly stable.
Link to IBGE releaseMore Testimonials