MercoPress. South Atlantic News Agency

Brazilian inflation picks up again in October

Inflation in Brazil accelerated in October faster than expected pushed mainly by the increase in fuel prices, revealed the Geography and Statistics Brazilian Institute, IBGE.

October's 0,75% compared to 0,35% in September was the highest increase in the consumer prices index since April.

Accumulated inflation in the ten first months of 2005 reached 4,73% and 6,36% in the last twelve months. Economists and market experts were expecting an average October's inflation of 0,50%.

According to IBGE the greatest inflationary impact came from gasoline prices, 4,17% and the alcohol mix which is also used as fuel which jumped 10,48% in October. Other items which contributed are air rates, urban transport and domestic service salaries.

However regarding food the increase was 0,27% but interrupting a four months descent.

Between June and September food prices contracted 0,67%; 0,77%; 0,73% and 0,26%.

During October beef soared 4,2% and poultry produce 3,9%, reports IBGE.