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Current Account Balance, Mid-August IPCA Inflation Expected To Increase

BRAZIL
  • Consumer prices as measured by the IPCA-15 index are expected to have increased on a monthly basis, after a 0.07% decrease in prior reading. Declining food, electricity and cooking gas prices should help keep headline inflation low, but won’t offset pressure from higher transportation costs. After briefly falling below the 3.25% target for the year, year-over-year inflation will rebound due to base effects as the deflationary impact of sharp tax cuts on fuel and utilities in 3Q22 phases out.
    • 1230BST/0730ET: July Foreign Direct Investment, est. $6b, prior $1.88b
    • 1230BST/0730ET: July Current Account Balance, est. -$3.9b, prior -$843m
    • 1300BST/0800ET: Aug. IBGE Inflation IPCA-15 Y/y, est. 4.12%, prior 3.19%
    • 1300BST/0800ET: Aug. IBGE Inflation IPCA-15 M/m, est. 0.17%, prior -0.07%
  • Recently released, Brazil's consumer confidence rose to 96.8 in August from 94.8 in July, with the present situation index rising to 81.4 from 76.8 in July.

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