RIO DE JANEIRO: Price rises in Brazil notched up ever so slightly in April with 0.22 percent inflation, but the rate for the first four months of the year hit its lowest since 1994, official statistics indicated Thursday.
The monthly increase was above the mere 0.09 percent posted in March. However it was lower than the 0.31 percent rise expected by the markets, according to a Central Bank survey.
Between January and April, prices have now risen 0.92 percent, the IBGE statistics office said. That compares to 1.1 percent during the same period last year and is the lowest in 24 years.
Over 12 months, inflation now stands at 2.76 percent, below the lower end of the Central Bank's target range, which centers on 4.5 percent. This year the market is betting on a 3.49 percent annual inflation rate.
Weak price rises have prompted the Central Bank to keep cutting interest rates in an attempt to stimulate the economy. In March the basic rate was lowered to a historic low of 6.5 percent.
A new 0.25 percentage points cut is expected next Wednesday.
Latin America's biggest economy came out of a deep recession in 2017. Last year, GDP grew one percent.
Despite the recovery, analysts expect the economy to be impacted by political instability centered on October elections and a corruption crisis.
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