FX.co ★ Portugal Logs 6th Month of Producer Deflation

In June 2025, Portugal experienced a 3% year-on-year decline in industrial producer prices, consistent with the revised decrease in May. This trend marks the continuation of a six-month deflation period. Primarily contributing to this downward pressure were energy costs, which dropped by 5.5% compared to a 7.2% decline in May. Consumer goods prices decreased by 3.1%, following a 3.3% drop, including non-durable goods which fell by 3.7%, slightly less than the previous 4% fall, and intermediate goods which saw a 3.4% decrease, a steeper decline than May's 2.4%. On the other hand, prices for durable consumer goods rose by 2.8%, a slight decrease from the previous 3.1% increase, and capital goods prices increased by 1.2%, up from 0.9%. Excluding energy, there was still a noticeable 2.5% reduction in industrial production prices, following a 2.2% fall in May. Month-on-month, producer prices saw a 0.9% increase in June, rebounding from a 0.1% decrease in the preceding month.