Tuesday March 12 2019
Portugal Inflation Rate Confirmed at 3-Month High of 0.9%
INE | Joana Taborda | joana.taborda@tradingeconomics.com

Consumer prices in Portugal increased 0.9 percent year-on-year in February of 2019, in line with preliminary figures and above a 0.5 percent rise in January. It is the highest inflation rate in three months, mainly due to rising cost of food and non-alcoholic beverages and transport.

Prices rose faster for food and non-alcoholic beverages (1.3 percent compared to 0.2 percent); transport (2.3 percent compared to 0.7 percent); and miscellaneous goods and services (1.7 percent compared to 1.3 percent). On the other hand, inflation slowed for housing and utilities (0.5 percent compared to 0.6 percent); restaurants and hotels (1.7 percent compared to 2.1 percent); and health (0.8 percent compared to 1.2 percent). Also, inflation was steady for recreation and culture (0.1 percent) and proices fell more for clothing and footwear (-3.3 percent compared to -3.1 percent).

Annual core inflation rate, which excludes prices of energy and unprocessed food products increased to 1 percent from 0.8 percent in January, in line with earlier figures.

On a monthly basis, consumer prices went down 0.2 percent, following a 1.2 percent drop in January and also in line with preliminary figures. Main downward contribution came from clothing and footwear (prices fell 4.6 percent after a 16.7 percent slump in January), namely women's clothing while the biggest upward contribution came from cost of transport (+0.5 percent compared to -0.4 percent), namely diesel.

The harmonized consumer price index rose 0.9 percent year-on-year (vs 0.6 percent in January) and decreased 0.3 percent month-over-month (-1.3 percent in January).




Thursday February 28 2019
Portugal Q4 GDP Growth Confirmed at 0.4%
INE | Joana Ferreira | joana.ferreira@tradingeconomics.com

The Portuguese quarterly economic growth was confirmed at 0.4 percent in the fourth quarter of 2018, slightly above the previous period's figure of 0.3 percent.

Household expenditure increased 1.3 percent in the fourth quarter (vs 0.7 percent), driven by consumption of both durable goods (1.5 percent vs -1 percent) and non durable goods and services (1.2 percent vs 0.9 percent). In addition, government spending rose 0.3 percent, after being unchanged in the third quarter.

By contrast, fixed investment shrank 0.6 percent, following a 0.8 percent growth in the previous three-month period, due to lower spending on other machinery and equipment including weapon systems (-5.2 percent vs 0.2 percent) and transport equipment (-2.7 percent vs 6.7 percent). Still, increases were seen in intellectual property products investment (2.5 percent vs 1.9 percent) and construction spending (1.6 percent vs -0.2 percent). Net external demand also contributed negatively to the GDP as imports surged 1.9 percent (vs -2 percent in Q3) and exports increased at a slower 1.1 percent (vs -3.7 percent in Q3).

Year-on-year, the economy grew 1.7 percent in the fourth quarter, also unrevised from the preliminary estimate and below the 2.1 percent expansion recorded in the previous period. Domestic demand was the main driver of growth while net exports contributed negatively to the GDP. Considering 2018 full year, the economy expanded 2.1 percent, slower than 2.8 percent in 2017.




Thursday February 28 2019
Portugal Inflation Rate at 3-Month High of 0.9%
INE | Joana Taborda | joana.taborda@tradingeconomics.com

Consumer prices in Portugal are expected to increase 0.9 percent year-on-year in February of 2019, above 0.5 percent in January. It is the highest inflation rate in three months as cost of unprocessed food rose faster and energy prices fell at a slower pace, preliminary estimates showed.

Prices of unprocessed food are expected to increase 2.1 percent (0.5 percent in January) and cost of energy is seen falling 0.8 percent (-2.3 percent in January).

Annual core inflation rate, which excludes prices of energy and unprocessed food products is expected to increase to 1 percent from 0.8 percent in January.

On a monthly basis, consumer prices are set to decline 0.2 percent, following a 1.2 percent drop in the previous month.

The harmonized consumer price index is likely to rise 0.9 percent year-on-year (vs 0.6 percent in January) and to decrease 0.3 percent month-over-month (-1.3 percent in January).


Thursday February 14 2019
Portugal Q4 GDP Growth Stronger than Expected
INE | Joana Ferreira | joana.ferreira@tradingeconomics.com

The Portuguese economy grew by 0.4 percent on quarter in the last three months of 2018, following a 0.3 percent expansion in the previous period and beating market expectations of 0.3 percent, a preliminary estimate showed.

Growth was mainly driven by domestic demand, while net trade contributed negatively to GDP growth.

Year-on-year, the economy advanced 1.7 percent in the fourth quarter, following a 2.1 percent expansion in the previous period. It was the weakest growth rate since the second quarter of 2016. The positive contribution of domestic demand increased, boosted by both investment and private consumption; while net external demand presented a more negative contribution to growth, due to a fall in exports.

In 2018, Portugal’s economy grew by 2.1 percent, slowing from a 2.8 percent expansion in 2017.


Tuesday February 12 2019
Portugal Inflation Rate at 9-Month Low of 0.5%
INE | Agna Gabriel | agna.gabriel@tradingeconomics.com

The annual inflation rate in Portugal decreased to 0.5 percent in January of 2019 from 0.7 percent in the previous month and slightly above preliminary estimates of 0.4 percent. It is the lowest inflation rate since April, mainly due to lower prices of food, transport and housing & utilities.

Year-on-year, cost slowed for food and non-alcoholic beverages (0.2 percent from 0.3 percent in December); transport (0.7 percent from 1.5 percent); housing and utilities (0.6 percent from 2.5 percent); alcoholic beverages and tobacco (2.4 percent from 2.6 percent) and communication (0.2 percent from 0.4 percent). On the other hand, prices rose faster for miscellaneous goods and services (1.3 percent from 1.2 percent); restaurant and hotels (2.1 percent from 1.5 percent); health (1.2 percent from 1 percent) and education (1.4 percent from 1.2 percent). Meanwhile, prices rebounded for recreation and culture (0.1 percent from -0.1 percent) while continued to decrease for clothing and footwear (-3.1 percent from -3.9 percent). 

Annual core inflation, which excludes energy and unprocessed food products, increased to 0.8 percent in January, above December’s final reading of 0.6 percent and higher than flash estimates of 0.7 percent. 

On a monthly basis, consumer prices dropped 1.2 percent, following a 0.2 percent decline in December and in line with preliminary estimates. 

The harmonized consumer price index rose 0.6 percent year-on-year (the same as in December) and decreased 1.3 percent month-over-month (from a 0.4 percent fall in December).


Thursday January 31 2019
Portugal Inflation Rate Falls to 0.4% in January
INE | Joana Taborda | joana.taborda@tradingeconomics.com

Consumer prices in Portugal are expected to rise 0.4 percent year-on-year in January of 2019, below 0.7 percent in December. It is the lowest inflation rate since April, amid a fall in energy prices, preliminary estimates showed.

Cost of energy is seen falling 2.23 percent (+1.42 percent in December) while prices of unprocessed food increased 0.44 percent (0.85 percent in December).

Annual core inflation rate, which excludes prices of energy and unprocessed food products is expected to increase to 0.7 percent from 0.6 percent in December.

On a monthly basis, consumer prices are set to decline 1.2 percent, following a 0.2 percent drop in the previous month.

The harmonized consumer price index is likely to rise 0.5 percent year-on-year (vs 0.6 percent in December) and to decrease 1.3 percent month-over-month (vs a 0.4 percent fall in December).


Friday January 11 2019
Portugal Inflation Rate Confirmed at 8-Month Low
INE | Agna Gabriel | agna.gabriel@tradingeconomics.com

The annual inflation rate in Portugal decreased to 0.7 percent in December of 2018 from 0.9 in the previous month and in line with preliminary estimates. It is the lowest inflation rate since April, mainly due to a slowdown in prices of transport and housing & utilities.

Year-on-year, cost slowed sharply for transport (1.5 percent from 3.1 percent in November) and housing and utilities (2.5 percent from 2.7 percent). In addition, inflation was steady for food and non-alcoholic beverages (0.3 percent, the same as in November); health (1 percent) and education (1.2 percent). On the other hand, prices rose faster for alcoholic beverages and tobacco (2.6 percent from 2.2 percent); communication (0.4 percent from 0.1 percent) and miscellaneous goods and services (1.2 percent from 1.1 percent).

Annual core inflation, which excludes energy and unprocessed food products, increased to 0.6 percent in December, above November’s final reading of 0.5 percent and in line with flash estimates.

On a monthly basis, consumer prices went down 0.2 percent in December, following a 0.4 percent drop in the prior month. 

The harmonized consumer price index rose 0.6 percent year-on-year (vs 0.9 percent in November) and decreased by 0.4 percent month-over-month (vs a 1 percent drop in November).


Friday January 04 2019
Portugal Inflation Rate Lowest in 8 Months
INE | Agna Gabriel | agna.gabriel@tradingeconomics.com

The annual inflation rate in Portugal is expected to decrease to 0.68 percent in December of 2018 from 0.86 in the previous month, a preliminary estimate showed. It is the lowest inflation rate since April, mainly due to lower prices of energy.

Lower prices for energy (1.48 percent vs 4.74 percent in November) should be partially offset by a slightly rise in the cost of unprocessed food products (0.85 percent vs 0.58 percent).

Annual core inflation rate, which excludes energy and unprocessed food products components, is expected to increase to 0.57 percent from 0.49 percent in November.

On a monthly basis, consumer prices are set to decline 0.22 percent in December, following a 0.45 percent drop in the previous month.

The harmonized consumer price index is likely to rise 0.6 percent year-on-year (vs 0.9 percent in November) and to decrease 0.4 percent month-over-month (vs a 1 percent fall in November).


Wednesday December 12 2018
Portugal Inflation Rate Confirmed at 7-Month Low of 0.9%
INE | Agna Gabriel | agna.gabriel@tradingeconomics.com

The annual inflation rate in Portugal decreased to 0.9 percent in November of 2018 from 1 percent in the previous month and in line with preliminary estimates. It is the lowest inflation rate since April, mainly due to lower transport prices.

Year-on-year, cost slowed for food and non-alcoholic beverages (0.28 percent from 0.30 percent in October); transport (3.10 percent from 4.84 percent); alcoholic beverages and tobacco (2.22 percent from 3.17 percent) and communication (0.10 percent from 0.12 percent). On the other hand, prices rose faster for miscellaneous goods and services (1.13 percent from 0.92 percent); housing and utilities (2.71 percent from 2.68 percent); health (1.01 percent from 0.98 percent) and education (1.21 percent from 1.15 percent).

At the same time, prices continued to decline for recreation and culture (-0.77 percent from -0.52 percent); clothing and footwear (-3.64 percent from -3.69 percent) and furniture & household equipment (-0.09 percent from -0.20 percent) while cost rebounded for restaurant and hotels (1.30 percent from -0.64 percent).

Annual core inflation, which excludes energy and unprocessed food products, increased to 0.5 percent in November, above October’s final reading of 0.4 percent and in line with flash estimates. 

On a monthly basis, consumer prices went down 0.4 percent in November, following a 0.1 percent drop in the prior month. 

The harmonized consumer price index rose 0.9 percent year-on-year (vs 0.8 percent in October) and decreased by 1 percent month-over-month (vs a 0.5 percent drop in October).


Friday November 30 2018
Portugal Q3 GDP Growth Confirmed at 0.3%
INE | Joana Ferreira | joana.ferreira@tradingeconomics.com

The Portuguese economy grew by 0.3 percent on quarter in the three months to September 2018, unrevised from a preliminary estimate and following a 0.6 percent expansion in the previous period. Household consumption and fixed investment were the main drivers of growth while net external demand contributed negatively and government spending was unchanged.

Domestic demand grew 1.1 in the third quarter (vs 0.6 percent in Q2), with household consumption jumping 0.7 percent (vs 0.1 percent in Q2) and fixed investment rising 0.9 percent (vs 1.7 percent in Q2). Investment in other machinery and equipment and armament systems grew at a softer 0.8 percent (vs 5.1 percent in Q2) and that in construction shrank 0.3 percent (vs unchanged in Q2), while spending rose faster on both transport equipment (6.4 percent vs 1.9 percent) and intellectual property products (1.4 percent vs 0.6 percent). Government spending was flat in the third quarter, following a 0.3 percent expansion in the previous period.

Net external demand contributed negatively to GDP growth, as exports of goods and services dropped 3.6 percent (vs 2.3 percent in Q2) and imports decreased at a slower 1.9 percent (vs 2.3 percent in Q2). 

Year-on-year, the economy grew 2.1 percent in the third quarter, unrevised from a preliminary estimate and following a 2.4 percent expansion in the previous period. Domestic demand advanced 2.4 percent (vs 2.7 percent in Q2), driven by households' spending (2.3 percent vs 2.7 percent), fixed investment (4.5 percent vs 4.1 percent), and public expenditure (0.7 percent vs 0.9 percent). Net external demand contributed negatively, as exports rose 3.1 percent (vs 7.1 percent in Q2) and imports advanced at a faster 3.5 percent (vs 7.5 percent in Q2).