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Brazil Prices Tumble Most Since 1980 on Bolsonaro’s Tax Cuts

  • Prices fell 0.68% on month in July, rose 10.07% on year
  • Bolsonaro slashed utility taxes to ease cost of living
Brazil inflation cools in July after Bolsonaro's anti-inflation measures
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Brazil consumer prices tumbled by the most on record in July after President Jair Bolsonaro slashed utility taxes to tame the soaring cost of living and lift his re-election chances.

Official data published Tuesday showed consumer prices fell 0.68% compared to June, more than the -0.65% median estimate from analysts in Bloomberg survey. It was the biggest monthly drop since the start of the data series in 1980. Annual inflation eased to 10.07%.