FX.co ★ Brazil’s IGP-DI Inflation Turns Positive in August After Sharp July Decline

Brazil’s IGP-DI inflation index edged back into positive territory in August 2026, posting a 0.06% month-over-month change, after having recorded a sharp 0.86% decline in July 2026. The latest reading, updated on 8 September 2026, marks a notable turnaround in the month-on-month trajectory of the index.

The July figure of -0.86% reflected a contraction compared to the previous month, while August’s 0.06% result indicates that price pressures, as measured by the IGP-DI, have stabilized and slightly increased. On a month-over-month comparison basis, the index thus moved from deflationary territory in July to marginal inflation in August.

This shift in the IGP-DI, a key indicator closely watched by financial markets and economic analysts, suggests an inflection in short-term price dynamics, though the magnitude of the August uptick remains modest compared with the previous month’s drop.