Summary
In March, the economic sentiment indicator extended the upward path in the Euro Area (EA) and in the European Union (EU27). In the same month, the consumer confidence indicator slightly increased in the EA, but recorded a tenuous reduction in the EU27. The raw materials and the oil prices continued to register strong year-on-year growth rates in March, accelerating when compared with the previous month.
In Portugal, the economic climate indicator maintained in March the downward movement started in July. The economic activity indicator, available until February, suspended the descending path observed since September. In February, the private consumption indicator decelerated again, led by the negative contribution of the durable consumption component, while the non-durable consumption component slightly accelerated. In the same month, the Gross Fixed Capital Formation (GFCF) indicator presented a less intense reduction, reflecting the less significant decrease in the construction component. Concerning the international trade of goods in nominal terms, imports and mainly exports recorded again strong year-on-year growth rates in February, of 13.4% and 21.7% (13.1% and 19.3% in January), respectively.
In March, the year-on-year change rate of the Consumer Price Index (CPI) was 4.0% (3.5% in February). In the same month, excluding energy and unprocessed food products, the year-on-year change rate was 2.4% (1.9% in the previous month). The prices of the goods and of the services components presented year-on-year growth rates of 4.9% and 2.7% in March (4.4% and 2.4% in the previous month), respectively. The differential between the change rate of the Portuguese Harmonized Index of Consumer Prices (HICP) and of the EA HICP increased 0.1 p.p. in March, to 1.2 p.p..