Portuguese Inflation Rate Slows To 6-Month Low In June

Portuguese consumer prices increased by 0.9 percent year-on-year in June 2017, easing from a 1.5 percent gain in the previous month. It was the lowest inflation rate since December last year, as cost of food and miscellaneous goods and services rose at a slower pace, while housing prices fell.

Year-on-year, prices rose at a slower pace for: Food and non-alcoholic beverages (0.2 percent from 2.1 percent in May); miscellaneous goods and services (0.8 percent from 1.1 percent); restaurants and hotels (3.5 percent from 4.9 percent); and recreation and culture (2.1 percent from 2.2 percent). Transport prices rose further by 1.5 percent after a 1.1 percent gain in May. Meanwhile, downward pressure came from: Housing and utilities (-0.2 percent from 0.1 percent in May); and clothing and footwear (-1.6 percent from -1.8 percent).

Annual core inflation rate, which excludes energy and unprocessed food products components, edged down to 1.1 percent from 1.2 percent in May.

On a monthly basis, consumer prices fell 0.4 percent, mainly due to lower prices for food and non-alcoholic beverages (-0.7 percent).

The harmonized consumer price index increased by 1 percent year-on-year and fell by 0.5 percent from the previous month.

Portuguese Inflation Rate Slows To 6-Month Low In June

INE | Joana Ferreira | joana.ferreira@tradingeconomics.com
7/12/2017 10:14:33 AM