FX.co ★ Brazil’s IGP-10 Deflation Eases in August, Signals Moderation in Price Pressures

Brazil’s IGP-10 inflation index showed a smaller deflation in August 2026, suggesting a moderation in downward price pressures. The indicator registered -0.5% in August, compared with -1.1% in July 2026, on a month-over-month basis.

According to the comparison methodology, the August reading reflects the change in prices versus July, while the previous figure captured the change in July relative to June. The less negative August result indicates that, although overall prices within the IGP-10 basket are still falling, the pace of decline has slowed.

The updated data, released on 17 August 2026, will be closely watched by market participants assessing the trajectory of inflation and potential implications for Brazilian monetary policy, as a decelerating deflation trend may influence expectations for future interest-rate decisions.