Brazil, South America's largest economy, saw consumer prices rise 7.6 percent last year, the lowest inflation rate in four years.
But Friday's government figures were still higher than many investors expected.
That prompted some analysts to predict that Brazil's central bank may raise benchmark interest rates next week.
Brazil's key interest rate already stands at 17.75 percent, one of the highest in the world.
Some information for this report provided by AP, Reuters.