Portugal July inflation Rate Confirmed at 15-Month High

Annual inflation rate in Portugal rose to 1.6 percent in July of 2018 from 1.5 percent in June, matching the preliminary estimate. It was the highest inflation rate since April 2017.
INE | Luisa Carvalho | luisa.carvalho@tradingeconomics.com 8/10/2018 11:56:14 AM
Year-on-year, inflation picked up mostly for: housing & utilities (2.60 percent vs 2.32 percent in June), namely rents (2.1 percent vs 1.9 percent); miscellaneous goods & services (1.58 percent vs 1.52 percent) and restaurants & hotels (4.82 percent vs 3.82 percent). 

On the other hand, prices slowed a bit for food & non-alcoholic beverages (1.19 percent vs 1.24 percent); transport (3.98 percent vs 4.06 percent) and remained almost flat for recreation and culture. Meantime, cost declined for clothing & footwear (-2.81 percent vs -2.74 percent) and furnishings (-0.48 percent vs -0.25 percent).

Annual core inflation, which excludes energy and unprocessed food products component was steady at 1.0 percent, in line with the preliminary estimate.

On a monthly basis, consumer prices inched down 0.6 percent as initially estimated, following a 0.1 percent increase in June. The main decrease in monthly consumer price index was recorded for clothing and footwear (-13.0 percent vs -1.3 percent), due to the usual start of the summer sales season in July.

The harmonized consumer price index rose by 2.2 percent year-on-year (2.0 percent in June) and decreased by 0.4 percent month-over-month (after being flat in June).

Portugal July inflation Rate Confirmed at 15-Month High