IGP-M rises 0.71% in the first preliminary results of March

The Consumer Price Index (CPI) varied 0.47% in the first ten-day period of March, compared to 0.14% in the previous month.
Economics
15 March 2019
IGP-M rises 0.71% in the first preliminary results of March

The General Market Price Index (IGP-M), calculated by FGV’s Brazilian Institute of Economics (IBRE), rose 0.71% in the first ten-day period of March, just above the 0.20% variation recorded in February.

The Broad Producer Price Index (IPA) recorded a 0.90% increase in the first ten-day period of March. The index had risen 0.22% in the same period in February. In the analysis based on processing stages, prices of Finished Goods varied 1.25% in March, on average, compared to 0.84% in February. The fuel for consumption subgroup was the main driver behind this trend, varying from -0.26% to 6.54%. Intermediate Goods varied 0.27% in the first ten-day period of March, compared to -0.09% in the previous month. The main factor behind such variation was the fuels and lubricants for production subgroup, varying from 1.93% to 5.13%.

Gross Raw Materials varied 1.25% in the first ten-day period of March, after dropping 0.14% last month. Some of the main drivers behind such increase in the group were soy (beans) (-2.24% to 1.85%), poultry (-1.53% to 3.85%), and fresh milk (-1.56% to 1.29%). In the opposite direction, it is worth mentioning sugarcane (1.28% to -1.45%), coffee (beans) (0.67% to -2.77%) and manioc (cassava) (2.35% to 1.45%).

The Consumer Price Index (CPI) varied 0.47% in the first ten-day period of March, compared to 0.14% in the previous month. Five of the eight expense categories that comprise the index recorded higher price variations, particularly the Food group (0.12% to 0.95%). The herbs and vegetables item stood out in this expense category, rising from -5.45% to 8.99%.

The Health and Personal Care (0.06% to 0.52%), Transport (-0.11% to 0.17%), Clothing (-0.22% to 0.66%), and Housing (0.16% to 0.18%) groups also recorded increases. The main drivers in this expense class were hygiene and personal care items (-1.42% to 1.32%), gasoline (-3.86% to -0.06%), clothes (-0.69% to 0.69%) and residential condominium fee (-0.28% to 0.37%).

On the other hand, the Education, Reading and Recreation (0.95% to 0.63%), Communication (0.09% to -0.01%) and Miscellaneous Expenses (0.13% to 0.08%) groups recorded decreasing variation rates. The following items stand out in these expense categories: formal courses (2.03% to 0.00%), landline phone and internet packages (0.31% to 0.00%) and notary office (2.64% to 0.20%).

The Civil Construction Index (INCC) rose 0.02% in the first ten-day period of March, lower than the 0.25% rate recorded in the previous month. The three components of the INCC recorded the following rates from the first ten-day period of February to the first ten-day period of March: Materials and Equipment (0.40% to -0.03%), Services (0.78% to 0.29%) and Manpower (0.05% to 0.01%).