Monday June 12 2017
Portugal Inflation Rate Down To 1.5% In May
INE | Joana Taborda | joana.taborda@tradingeconomics.com

Consumer prices in Portugal increased 1.5 percent year-on-year in May of 2017, easing from a 2 percent rise in April. Inflation slowed mostly for transport and restaurants and hotels after rising in April due to the Easter holidays.

Year-on-year, prices rose at a slower pace for transport (1.1 percent from 4.6 percent in April); restaurants and hotels (4.9 percent from 5.7 percent); housing and fuels (0 percent from 0.2 percent); health (0.5 percent from 0.7 percent); recreation and culture (2.2 percent from 2.7 percent) and alcoholic beverages and tobacco (3 percent from 3.3 percent).

In contrast, prices rose faster for food and non-alcoholic beverages (2.1 percent from 2 percent); communication (3.3 percent from 3.1 percent) and miscellaneous goods and services (1.1 percent from 0.4 percent). Cost fell less for clothing and footwear (-1.8 percent from -2 percent) and accessories, household equipment and house maintenance (-0.2 percent from -0.5 percent).

Annual core inflation, which excludes energy and unprocessed food products, fell to 1.2 percent from 1.7 percent in the previous month. 

On a monthly basis, consumer prices went down 0.2 percent, following a 1 percent rise in April, mainly due to a 2.4 percent drop in transport cost. 

The harmonized consumer price index increased by 1.7 percent year-on-year and fell by 0.3 percent from the previous month.




Wednesday May 31 2017
Portuguese Q1 GDP Growth Confirmed At 1%
INE | Joana Ferreira | joana.ferreira@tradingeconomics.com

The Portuguese economy expanded 1 percent on quarter in the three months to March 2017, following a 0.7 percent growth in the previous period and matching the preliminary estimate. It was the strongest growth rate since the first quarter of 2010, mainly boosted by net external demand while household consumption and fixed investment increased at a slower pace, final figures showed.

It was the twelfth consecutive period of expansion and the strongest in seven years, mainly boosted by net external demand as exports of goods and services jumped 3.1 percent (2.7 percent in Q4 2016), while imports rose at a slower 1.2 percent (4.8 percent in Q4). 

Also, domestic demand grew 0.2 from the previous period (1.6 percent in Q4), as household consumption advanced 0.8 percent (1.1 percent in Q4), and gross fixed capital formation increased 2.1 percent (5.9 percent in Q4). Investment went up at a slower pace for construction (5 percent from 7.6 percent in Q4) and other machinery and equipment (1.1 percent from 4.3 percent), while contracted for transport equipment (-0.7 percent from 8.5 percent in Q4) and intellectual property products (-3.2 percent from 3.3 percent in Q4). Meanwhile, government spending showed no growth (0.1 percent in Q4).

On the production side, output grew mainly for: Construction (4.7 percent from 6.7 percent in Q4); other service activities (1.2 percent from 0.8 percent in Q4); and financial, insurance and real estate activities (0.7 percent from -0.9 percent in Q4). Meanwhile, trade, accommodation and food service activities showed no growth (1.7 percent in Q4), while output contracted for industry (-0.4 percent from 0.8 percent in Q4); and transportation and storage, information and communication (-1.8 percent from 2 percent in Q4).

Year-on-year, the economy advanced 2.8 percent after growing by 2 percent in the previous period. It was the strongest growth rate since the last quarter of 2007, driven by net exernal demand, as exports rose 9.7 percent (6.6 percent in Q4) and imports advanced at a slower 8 percent (7.7 percent in Q4). Domestic demand grew 2.2 percent (2.5 percent in Q4), as households' spending expanded by 2.2 percent (3 percent in Q4) and fixed investment increased by 8.9 percent (5.2 percent in Q4) while public expenditure contracted 0.4 percent (after showing no growth in Q4).




Monday May 15 2017
Portugal GDP Growth At 7-Year High Of 1%
INE | Joana Taborda | joana.taborda@tradingeconomics.com

The Portuguese economy advanced 1 percent on quarter in the first three months of 2017, following an upwardly revised 0.7 percent growth in the previous period. It is the biggest expansion since the first quarter of 2010, mainly boosted by external demand, preliminary estimates showed.

The contribution from net trade turned positive in Q1 as exports rose faster than imports. On the other hand, the postive contribution from domestic demand decreased as gross fixed capital formation grew less and inventories declined. 

Year-on-year, the economy advanced 2.8 percent, well above 2 percent in the last three months of 2016 and the highest since the last quarter of 2007. The contribution from net trade also turned positive on a yearly basis while private spending and investment slowed. 

The government expects the economy to grow 1.8 percent in 2017, higher than 1.4 percent in 2016 and in line with European Commission forecasts. The IMF estimates 1.7 percent. 




Thursday May 11 2017
Portugal Inflation Rate At 2012 High Of 2%
INE | Joana Taborda | joana.taborda@tradingeconomics.com

Consumer prices in Portugal increased 2 percent year-on-year in April of 2017, following a 1.4 percent rise in March and above market expectations of 1.2 percent. It is the highest inflation rate since October of 2012, boosted by cost of travels, stays in hotels and transport due to the Easter holidays that in 2017 fell in April while it occurred in March in 2016.

Year-on-year, biggest upward pressure came from prices of transport (4.58 percent from 3.09 percent in March); miscellaneous goods and services (0.41 percent from 0.28 percent); restaurants and hotels (5.7 percent from 2.02 percent) and recreation and culture (2.7 percent from 1 percent). In contrast, inflation eased for food and non-alcoholic beverages (1.97 percent from 2.68 percent) and housing and utilities (0.15 percent from 0.31 percent). 

Annual core inflation rate, which excludes energy and unprocessed food products components, jumped to 1.7 percent from 0.6 percent in each of the previous two months.  

On a monthly basis, consumer prices increased 1 percent, following a 1.8 percent rise in March. 

The harmonized consumer price index increased by 2.4 percent year-on-year and by 1.5 percent from the previous month.


Wednesday April 12 2017
Portuguese Inflation Rate Slows To 1.4% In March
INE | Joana Ferreira | joana.ferreira@tradingeconomics.com

Portuguese consumer prices increased by 1.4 percent year-on-year in March 2017, easing from a 1.6 percent gain in the previous month, as cost for transport rose at a slower pace.

Year-on-year, cost of transportation rose by 3.1 percent, slowing from a 5.9 percent gain in the previous month, reflecting mainly the deceleration of fuel prices. Additional upward pressure came from: Food and non-alcoholic beverages (2.7 percent from 2.4 percent in February); miscellaneous goods and services (0.3 percent from 0.4 percent); housing and utilities (0.3 percent from 0.1 percent); restaurants and hotels (2 percent from 1.9 percent); and recreation and culture (1 percent from 0.8 percent). By contrast, cost fell for: Clothing and footwear (-1.7 percent from -1.8 percent in February); health (-0.3 percent, the same as in February) and furnishings, household equipment and routine maintenance of the house (-0.8 percent from -0.2 percent).

Annual core inflation rate, which excludes energy and unprocessed food products components, stood at 0.6 percent, unchanged from the previous month.

On a monthly basis, consumer prices jumped 1.8 percent, mainly due to higher prices for clothing and footwear.

The harmonized consumer price index increased by 1.4 percent year-on-year and by 2 percent from the previous month.


Friday March 10 2017
Portugal Inflation Rate Rises to 1.6% In February
INE | Joana Taborda | joana.taborda@tradingeconomics.com

Consumer prices in Portugal increased 1.6 percent year-on-year in February of 2017, following a 1.3 percent rise in January. The inflation rate accelerated for the third straight month to the highest since December of 2012 amid rising food cost and oil prices that boosted transport cost.

Year-on-year, prices rose faster for food and non-alcoholic beverages (2.4 percent compared to 1.3 percent in January); transport (5.9 percent compared to 5.4 percent); restaurants and hotels (1.9 percent from 1.6 percent) and recovered for miscellaneous goods and services (0.4 percent compared to -0.1 percent). In contrast, inflation slowed for housing and utilities (0.1 percent compared to 0.5 percent) and recreation and culture (0.8 percent compared to 1.4 percent). In addition, prices fell further for clothing and footwear (-1.8 percent compared to -0.7 percent). 

On a monthly basis, consumer prices edged down 0.2 percent, following a 0.6 percent drop in January. 

The harmonized index rose 1.6 percent year-on-year and fell 0.2 percent on the month. 


Wednesday March 01 2017
Portugal GDP Growth Confirmed At 0.6% In Q4
INE | Joana Taborda | joana.taborda@tradingeconomics.com

The Portuguese economy advanced 0.6 percent on quarter in the last three months of 2016, in line with preliminary estimates and slowing from an upwardly revised 0.9 percent expansion in the previous period. Domestic demand rebounded as household spending and investment accelerated while net trade dragged down on growth due to a surge in imports. Considering full 2016, the economy expanded 1.4 percent, below 1.6 percent in 2015.

Household spending increased 1.1 percent, following a 0.4 percent rise in Q3 and government spending recovered (0.3 percent from -0.6 percent). Gross fixed capital formation went up 4.6 percent, following a 0.2 percent gain in Q3: investment recovered for transport equipment (9.2 percent from -6.2 percent in Q3) and intellectual property products (2.8 percent from -2.4 percent in Q3) and jumped for construction (7.7 percent from 0.2 percent in Q3). Exports increased 2.5 percent, the same as in the previous period while imports surged 4.5 percent, following a 0.1 percent drop in Q3.  

Year-on-year, the economy expanded 2 percent, following an upwardly revised 1.7 percent increase in Q3 and higher than initial estimates of 1.9 percent. It is the highest growth rate since the second quarter of 2010, mainly due to a recovery in investment and rising household spending.

Considering full 2016, consumption slowed (1.9 percent from 2.2 percent), gross capital formation contracted (-0.9 percent from 4.6 percent) and both exports (4.4 percent from 6.1 percent) and imports (4.4 percent from 8.2 percent) rose at a slower pace. 


Tuesday February 14 2017
Portugal GDP Growth Betas Expectations In Q4
INE | Joana Taborda | joana.taborda@tradingeconomics.com

The Portuguese economy advanced 0.6 percent on quarter in the last three months of 2016, slowing from a 0.8 percent expansion in the previous period but beating market expectations of 0.5 percent. Domestic demand was the main contributor to growth, preliminary estimates showed.

Domestic demand made a positive contribution to growth in the last quarter of 2016 after dragging it down in the previous period, mainly boosted by investment. In contrast, net trade contributed negatively to growth mainly due to a jump in imports. 

Year-on-year, the economy advanced 1.9 percent, higher than 1.6 percent in the third quarter and beating market expectations of 1.6 percent. It is the highest growth rate since the last quarter of 2013 as investment recovered and household spending accelerated. On the other hand, imports rose faster than exports, bringing net trade contribution to negative.

Considering full 2016, the GDP expanded 1.4 percent, lower than 1.6 percent in 2015 but higher than government estimates of 1.2 percent and European Commission ones of 1.3 percent. 


Friday February 10 2017
Portuguese Inflation Rate Rises To Nearly 4-Year High
INE | Joana Ferreira | joana.ferreira@tradingeconomics.com

Portuguese consumer prices increased by 1.3 percent year-on-year in January 2017, following a 0.9 percent rise in December. It was the highest inflation rate since December 2012, mainly boosted by higher cost for food and transportation.

Year-on-year, prices of food and non-alcoholic beverages went up by 1.3 percent, following a 0.6 percent gain in December; and cost of transportation climbed 5.4 percent, the biggest rise since December 2011, after growing by 1.9 percent. Additional upward pressure came from: Housing and utilities (0.5 percent from 0.6 percent in December); restaurants and hotels (1.6 percent from 1.9 percent); and recreation and culture (1.4 percent from 0.9 percent). By contrast, cost fell for: Miscellaneous goods and services (-0.1 percent from 0.4 percent in December); clothing and footwear (-0.7 percent from -0.9 percent) and health (-0.5 percent from -0.8 percent).

The annual core inflation rate, which excludes energy and unprocessed food products components, was recorded at 0.5 percent, the same as in the previous month.

On a monthly basis, consumer prices fell by 0.6 percent after showing no growth in December.

The harmonized consumer price index increased by 1.3 percent year-on-year and decreased by 0.7 percent from the previous month.


Wednesday January 11 2017
Portuguese Inflation Rate Rises To 0.9% YoY In December
INE | Joana Ferreira | joana.ferreira@tradingeconomics.com

Portuguese consumer prices went up by 0.9 percent year-on-year in December 2016, accelerating from a 0.6 percent rise in November but missing market expectations of a 1.4 percent gain. The increase was mainly boosted by a 10.7 percent rise in petrol prices while cost of clothing continued to fall.

Year-on-year, prices of transportation climbed 1.9 percent, the biggest rise since October 2012, mainly boosted by a 10.7 percent increase in petrol prices. Additional upward pressure came from: Food and non-alcoholic beverages (+0.6 percent from +0.5 percent in November); miscellaneous goods and services (+0.4 percent from a flat reading); housing and utilities (+0.6 percent from +0.3 percent); restaurants and hotels (+1.9 percent from +1.8 percent); and recreation and culture (+0.9 percent from +1.2 percent). By contrast, cost fell for clothing and footwear (-0.9 percent from -1.4 percent in November) and health (-0.8 percent from -0.6 percent).

The annual core inflation rate, which excludes energy and unprocessed food products components, was recorded at 0.5 percent compared to 0.4 percent in the previous month.

On a monthly basis, consumer prices were unchanged, following a 0.5 percent drop last month and below market consensus of a 0.5 percent rise.

The harmonized consumer price index increased by 0.9 percent year-on-year and was flat from the previous month.

The average annual inflation figure was 0.6 percent in 2016 compared with 0.5 percent in 2015.