The Brazilian Geography and Statistics Institute announced Friday (Dec. 6) that the official inflation measured by the Broad Consumer Price Index (IPCA) decreased to 0.54% in November. The rate is 0.03 percentage points down from October's 0.57%, a cumulative 4.95%. The result drives inflation further down from the upper target range set by the government (6.5%), for an accumulated 5.77% over the past twelve months.

The IPCA survey covers calendar month periods and the data is collected from businesses, service providers, households (for rent prices) and utilities. The prices reported are those actually charged to consumers on a cash payment basis.

In an uptrend since June 2012 (4.92%), the index hit a turning point peak of 6.70% in June.

The food group, which accounts for about 23% of the index, provided the largest downward pressure, going from 1.03 % to 0.56%, followed by household goods (0.81%-0.35%), clothing (1.13%-0.85%) and education (0.09%-0.08%). Inflation increased in all other groups, most markedly in personal expenditures (from 0.43% to 0.87%), transport (0.17%-0.36%), and housing (0.56%-0.69%).