UPDATE 1-Brazil monthly inflation slows in mid-September as food prices fall

martes 22 de septiembre de 2015 09:06 GYT

(Adds table, data, background)
    BRASILIA, Sept 22 (Reuters) - Brazil's monthly inflation
rate slowed in mid-September as food prices fell but annual
inflation remained unchanged and far above the government's
    Brazil's IPCA-15 consumer price index rose 0.39
percent in the month to mid-September, down from 0.43 in the
previous month, government statistics agency IBGE said on
Tuesday. The index had been expected to rise 0.38 percent,
according to the median forecast in a Reuters poll.
    Inflation in the 12-month period to mid-September remained
at 9.57 percent, matching that of mid-August, running at more
than double the government's 4.5 percent target.
    The annual inflation rate is expected to fall sharply early
next year, cooled by Brazil's worst recession in 25 years and
the central bank hiking its benchmark interest rate to 14.25
    Food prices fell 0.06 percent in the month to mid-September,
down from an increase of 0.45 percent in mid-August, as
plentiful crops reduced prices of fresh vegetables. Airfares and
cooking fuel rose sharply though, preventing inflation from
slowing faster.
    Inflation in Latin America's largest economy spiked after
President Dilma Rousseff authorized increases in utility rates
and other government-set prices following her re-election.
    Economists have feared another inflation bout in coming
months as a political and economic crisis weakened Brazil's
currency to an all-time low, raising import prices. 
    The central bank signaled it could tighten monetary policy
further if inflation expectations rise significantly again.
    Below is the result for each price category:    

                                  mid-August   mid-September
 - Food and beverages                   0.45           -0.06
 - Housing                              1.02            0.68
 - Household articles                   0.73            0.36
 - Apparel                              0.01            0.36
 - Transport                           -0.46            0.78
 - Health and personal care             0.83            0.50
 - Personal expenses                    0.73            0.51
 - Education                            0.78            0.24
 - Communication                        0.11            0.01
 - IPCA-15                              0.43            0.39
 (Reporting by Silvio Cascione Editing by W Simon)