Portuguese Inflation Rate Slows to 0.4%

Consumer prices in Portugal increased by 0.4 percent year-on-year in February of 2016 easing from a 0.8 percent growth in the previous month. Cost of accommodation rose at a slower pace while a decline in prices of food, transportation and clothing dragged the inflation down.
INE | Joana Ferreira | joana.ferreira@tradingeconomics.com 3/10/2016 12:01:41 PM
Year-on-year, prices of restaurants and hotels rose 0.2 percent (from +0.6 percent in January); while cost of food and non-alcoholic dropped 0.6 percent (from +0.2 percent), transport prices declined by 1.3 percent (after showing no growth in the previous month) and cost of clothing and footwear went down by 0.2 percent (from +0.2 percent).

Additional upward pressure came from: Alcoholic beverages and tobacco (+4.1 percent); communication (+4 percent); recreation and culture (+1.9 percent); miscellaneous goods and services (+1.1 percent); furnishing and household equipment (+1.1 percent); and education (+0.9 percent).

Annual core inflation rate, which excludes energy and unprocessed food products components, fell to 0.9 percent compared to 1 percent in January. 

On a monthly basis, consumer prices dropped 0.4 percent, after falling 1.1 percent last month, as prices of clothing and footwear declined sharply by 5.6 percent and cost of food dropped 1.1 percent.

The harmonized consumer price index increased by 0.2 percent year-on-year but fell 0.5 percent on the month.

Portuguese Inflation Rate Slows to 0.4%