Portugal: Inflation jumps to highest level in almost five years
February 10, 2011
In January, consumer prices jumped 0.6% over the previous month, doubling the 0.3% increase recorded in December and contrasting the 0.5% drop tallied in January 2010. As a result, annual inflation soared to 3.6% in January (December: 2.5% year-on-year), which represents the highest rate since June 2006. Prices in all categories composing the index increased compared to the previous month except for clothing and footwear, which fell due to seasonal sales. Meanwhile, annual core inflation, which excludes prices of unprocessed food and energy, jumped from 1.0% in December to 2.1% in January. Annual average HICP inflation (based on the harmonised index of consumer prices) rose for the 11th consecutive month, stepping up from 1.4% in December to 1.7% in January, the highest level since March 2009.