Brazilian inflation slowed in June to its lowest level in nearly two years thanks to temporary tax cuts on vehicles and lower fuel prices as the government seeks to boost the economy.
Brazil's consumer price index rose 0.08 percent in June, down from a 0.36 percent increase in May, the state statistics agency IBGE said Friday.
The Brazilian Geography and Statistics Institute put the index at 4.92 percent for the 12 months through June.
The June result, the lowest monthly reading since the 0.04 percent recorded in August 2010, brought inflation for the first half of this year to 2.32 percent, well below the 3.87 percent registered during the same period of 2011.
The slower inflation was attributed mainly to a drop in prices of new cars which fell 5.5 percent as well as to lower fuel prices.
The Brazilian government recently announced tax and interest rate cuts to boost consumption and credit along with measures to bolster the flagging auto sector, which analysts say represents more than 25 percent of the country's industrial GDP.
Latin America's leading economy finished 2011 with 6.5 percent inflation, reaching the upper limit of the government's target, but it has since eased closer to the government's 4.5 percent goal.
yahoo.com
Brazil's consumer price index rose 0.08 percent in June, down from a 0.36 percent increase in May, the state statistics agency IBGE said Friday.
The Brazilian Geography and Statistics Institute put the index at 4.92 percent for the 12 months through June.
The June result, the lowest monthly reading since the 0.04 percent recorded in August 2010, brought inflation for the first half of this year to 2.32 percent, well below the 3.87 percent registered during the same period of 2011.
The slower inflation was attributed mainly to a drop in prices of new cars which fell 5.5 percent as well as to lower fuel prices.
The Brazilian government recently announced tax and interest rate cuts to boost consumption and credit along with measures to bolster the flagging auto sector, which analysts say represents more than 25 percent of the country's industrial GDP.
Latin America's leading economy finished 2011 with 6.5 percent inflation, reaching the upper limit of the government's target, but it has since eased closer to the government's 4.5 percent goal.
yahoo.com
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