In June, the Euro Area (EA) economic sentiment indicator decreased, after increasing in the previous month.

In Portugal, the industrial production price index reached a year-on-year rate of change of 2.0% in June (0.6% in May), presenting positive rates after twelve consecutive months with negative rates. The rate of change in the grouping of Energy increased to 8.0%, after being 4.4% in the preceding month. Excluding the energy component, this index registered a rate of change of 0.9% (-0.1% in previous month), and the index for consumer goods recorded a year-on-year growth rate of 3.0% in May and June (2.8% in April).

The year-on-year rate of change in the Consumer Price Index (CPI) stood at 2.8% in June, 0.3 percentage points (p.p.) less than in the previous month. The index for unprocessed food decelerated, from 2.5% in May to 1.8% in June. On the external side, the implicit prices of exports and imports of goods, in May, registered year-on-year rates of change of 0.0% and -2.0%, respectively (-1.8% and -3.8% in April).

The short-term indicators for economic activity from the perspective of production, available for May, point to a deceleration in real terms in construction and industry, in nominal terms in services and to a nominal decrease in industry. From the expenditure side, the economic activity and Gross Fixed Capital Formation indicators increased less intensely in year-on-year terms in May, while the private consumption indicator accelerated. The economic climate indicator, which summarizes the balances of responses to questions relating to business surveys, decreased in June, after having increased in May.

According to the provisional monthly Labour Force Survey, the unemployment rate (16 to 74 years old), seasonally adjusted was 6.5% in May, 0.1 percentage points less than in April (6.6% in February and 6.4% in May 2023). The labour underutilization rate (16 to 74 years old) was 11.1%, unchanged from April (11.4% in February and 11.7% in the same period of the previous year). The employed population (16 to 74 years old), seasonally adjusted, increased by 1.3% in year-on-year terms and presented nil growth compared to the previous month (year-on-year rate of change of 1.8% in April).