Deflation is Back in Portugal in December

Consumer prices in Portugal dropped by 0.4 percent in December of 2014, after being flat in the last two months as lower gasoline cost pushed transport prices lower.

The largest downward pressure came from prices of transport (-4.38 percent) and clothing and footwear (-1.84 percent). Cost of leisure and culture contracted 1.24 percent and food and non-alcoholic beverages went down 0.38 percent. In contrast, prices of housing, water, electricity and gas (+1.92 percent) and restaurants and hotels (+1.64 percent) recorded the highest increases.

Annual core inflation rate, which excludes energy and unprocessed food, was 0.3 percent in December, the same as in November.

On a monthly basis, consumer prices were unchanged, after a 0.2 drop in November.

The harmonised index decreased to -0.3 percent. 

Deflation is Back in Portugal in December

INE | Carolina Cunha |
1/13/2015 12:12:23 PM