Latin America’s Inflation Progress Tempered by Soaring Food Price Pressures

  • Inflation sped up in Mexico, slowed little in Brazil and Chile
  • Food costs were top price driver in Brazil, Mexico and Chile
A vendor at La Vega Central fruit and vegetable market in Santiago, ChilePhotographer: Cristobal Olivares/Bloomberg
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Brazil’s and Chile’s consumer prices rose more than expected in January while Mexico’s annual inflation sped up for the third straight month as policymakers in those countries faced renewed food cost pressures.

Annual inflation in Brazil unexpectedly ran above the central bank’s tolerance range, at 4.51%, while Chile consumer prices rose past estimates, hitting 3.8% from a year ago, according to data published Thursday. Mexico’s cost of living increased 4.88% in 12 months, picking up for the third straight time.