CORRECTED-MNI BRIEF: Brazil's Inflation Rises To 5.06% In Feb
MNI (BRASILIA) - (Corrects headline to show inflation reading was 5.06%, not 5.03%)
Brazil's IPCA inflation measure rose to 5.06% in February, slightly above the 5% consensus and up from 4.56% in January, the Brazilian Institute of Geography and Statistics (IBGE) said Wednesday. The increase was driven by rising energy costs.
Inflation remains above the upper limit of the Central Bank of Brazil's 3% target range, which allows for a 1.5-percentage-point deviation in either direction.
On a monthly basis, inflation was 1.31%, up from 0.16% and the highest February reading since 2003.
In January, the BCB raised its Selic rate by 100 basis points to 13.25%. It signaled one more increase in March but remains data-dependent for its May decision. (See MNI INTERVIEW: BCB To End Hiking Cycle At 14.75% - Kfoury)