In Latin America’s largest economy, the IPCA-15 consumer price index fell 0.07% in the period, down from 0.04% in the previous month and below the 0.01% drop expected by economists polled by Reuters.
That took 12-month inflation in the country to 3.19%, while economists had projected it to come in at 3.26%.
The annual figure remains below the central bank’s inflation target of 3.25% for this year, although an uptick is expected from this month because of unfavorable base effects.
IBGE said the deflation in the month to mid-July was mainly driven by lower housing and food and beverage costs, whose declines were partially offset by an increase in transportation prices.
