The Broad National Consumer Price Index (IPCA) for October registered a variation of 0.24%,
marking the fourth consecutive month in positive territory. In comparison, September had presented a variation of 0.26%. Year-to-date, the IPCA shows an increase of 3.75%, while in the last 12 months, the increase is 4.82%, demonstrating a drop in relation to the 5.19% observed in the immediately previous period.
The crucial point of this news lies in the significant reduction in inflation accumulated in 12 months, from 5.19% to 4.82%, and still falling short of analysts' projections, which estimated around 4.87%. Observing the inflation target , which is considered met if it oscillates between 1.5% per year and 4.5% per year, a tendency for inflation to converge to established levels is identified. This trajectory relieves pressure on the monetary policy committee.
The future scenario will depend on the global and Brazilian economic indicators that will be presented from now on. However, it is clear that additional effort will be needed to restore global inflation to pre-pandemic figures.