The U.S. Exports Food and Oil Inflation: Inflation Rate Jumps in Brazil

While inflation ithe U.S. remains at tepid rate and the fed does not know if it is deflation or inflation it needs to fight, or create, inflation in other countries such as in Asia and Brazil are jumping as food and oil rise.

Brazil's inflation, as measured by the National Consumer Price Index (IPCA), jumped to 0.83% in January (that's for  asingle month!), compared with 0.63% in December. This represented the highest rate since April 2005 when the index rose by 0.87%.
Over the past 12 months through January, the IPCA index is up 5.99%.

Food and Beverage Transport and were responsible for the greatest pressure on the IPCA in January (0.83%), according to the IBGE (Brazilian Stats Institute) said. Both groups - the Food and Beverage and Transport - contribution amounted to 0.56 percentage point in the index, which equals 67% of the IPCA in January. The group of Food and Beverage 0.27 percentage point and accounted for Transport, 0.29 percentage point.

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