Brazil's Producer Inflation Rises 19.15% In May

Brazil's producer price index rose 19.15% in May, from the same month a year ago, according to data released Friday by the country's Institute of Geography and Statistics (IBGE).

On a monthly basis, producer inflation increased 1.83%. It showed a monthly gain of 2.08% in April.

Mining and quarrying industries saw a price gain of 12.5% in May, compared to the month before, while paper and cellulose prices increased 4.96%, according to IBGE data.

On an annual basis, petroleum refining and biofuels saw a price jump of 53.79%, while other chemical products' prices soared 35.88%.

Brazil's manufacturing sector showed little change in June, according to a report by the US-based financial services company S&P Global on Friday.

Manufacturing purchasing managers' index (PMI), which measures the activity of managers in the manufacturing sector, fell only 0.1 point from the previous month to 54.1 in June, from 54.2 in May.

S&P Global said Brazilian manufacturers signaled a fourth successive monthly increase in new work intakes with improvements in demand conditions, but added that growth was curbed by weaker global demand and inflationary pressures.

"The manufacturing sector performed well in June, remaining resilient to numerous challenges such as stubbornly high inflation, aggressive hikes to interest rates, the cost-of-living crisis, supply-chain bottlenecks and the war in Ukraine," said Pollyanna de Lima, economics associate director at S&P Global Market Intelligence. -