Current inflation rises with regulated prices, although underlying services ease at the margin – 10/11
With the change in the electricity tariff flag to red level 1, electricity was the main driver of the 0.44% increase in the IPCA in September. In economic activity, monthly surveys confirm the narrative of gradual deceleration in the third quarter of the year.
In the political sphere, the week was marked by the repercussions of the results of the first round of municipal elections. On the fiscal front, President Lula’s statements about income tax exemption for those earning up to R$ 5,000, along with the confirmation of the purchase of new aircraft for the Presidency, were poorly received by the market.
In the United States, September’s CPI surprised the upside, with an increase in goods and services.
For more information, please check our Weekly Report 85.
