Brazil's inflation accelerated to an annual 4.63pc in October, on broad-based gains led by higher food and beverage costs.
The consumer price index IPCA accelerated from 4.58pc in September, national statistics agency IBGE said on Thursday. The latest move puts inflation above the central bank's target range of 1.50-4.5pc.
Food and beverage costs increased to an annual 5.73pc in October, up from 4.66pc in September.
Communication inflation increased to 3.68pc in October, from 2.79pc in September, driven by readjustments in internet access and mobile phone service plans.
Transport costs decreased to an annual 3.20pc in October from 3.94pc in September, driven by a 9.21pc monthly decrease in airfares. Vehicle fuel inflation fell to 4.30pc from 4.97pc, as gasoline and vehicle natural gas prices fell, while diesel and ethanol prices rose.
Housing inflation decelerated to an annual 4.01pc from 4.22pc a month earlier, pushed down by a 1.92 decrease in residential electricity prices and the green tariff flag that took effect this month, which carries no additional charges on electricity bills.
Brazil's central bank expects inflation to end 2026 at 5pc, above its 1.5-4.5pc targeted range.
Meanwhile, Brazil's central bank has paused its target rate to 13.75pc in November, driven by more restrictive monetary policy given the prolongation of armed conflicts, a lack of fiscal adjustment and financial markets' reactions to the re-election of Brazil's president Luiz Inacio Lula da Silva on 25 October.
