Inflation in Brazil nearly halts in July: rises only 0.06%

WHAT HAPPENED

Brazil's inflation nearly halted in July: it rose 0.06%, compared to 0.41% in June. Over 12 months, it stood at 4.52%. Housing increased by 0.97%, but food and beverages decreased by 0.66%.

WHY IT MATTERS

Cheaper food curbed the overall price increase, although rent, electricity, and gas rose. With inflation lower than expected, the central bank has more room not to raise rates, which could lower loans and credit cards later.

AND FOR YOUR PORTFOLIO

For Brazilian wallets, the supermarket provided some relief, but housing continued to become more expensive. In a diversified portfolio, more controlled inflation can support consumption and credit, while housing costs continue to pressure families.