Brazil have dropped out of the top 10 in the FIFA rankings for the first time since the system’s inception in 1993.
Mano Menezes’ side have fallen five places to 11th spot, their worst-ever standing, after losing their last two games to Argentina, who remain seventh, and Mexico.
Brazil have suffered from a lack of competitive fixtures due to their automatic qualification for the 2014 FIFA World Cup on home soil.
England climbed to a joint all-time high of fourth despite their quarter-final exit at Euro 2012. They previously reached fourth in December 1997 and September 2006.
Italy, who beat England on penalties and lost in the final to Spain, have moved up six places into sixth.
Spain retained top spot with Germany rising to second place at the expense of 2010 FIFA World Cup semi-finalists Uruguay.
The Netherlands, who lost the 2010 World Cup final to Spain, have suffered after their disastrous Euro 2012 campaign, dropping to eighth position.
One of the pre-tournament favourites going into the European Championships in Poland and Ukraine, Netherlands exited at the group stage after losing all three of their matches.
Portugal jumped to fifth after reaching the semi-finals of Euro 2012, while the Czech Republic have risen nine places to 18th after making the last eight.
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