Bankinter | Inflation (preliminary data) in Germany eases one-tenth in March to 2.2% (versus expected 2.2% versus previous 2.3%). Today the EMU CPI was published, standing at +2.2% versus the previous +2.3%. For now, inflation is improving in Germany, Spain (+2.3% versus +3.0% previously) and Portugal (+1.9% versus 2.4% previously), remains stable in France (+0.8%) and is picking up in Italy (+2.0% versus +1.6% previously).
Indeed, in Portugal, the preliminary March CPI fell to +1.9% year-on-year (vs. +2.4% previously). The core rate fell to +1.9% year-on-year (versus +2.5% previously). In month-on-month terms +1.4% month-on-month (versus -0.1% previously and +2.0% in the same month last year) and the underlying rate +1.8% month-on-month. After a rebound at the end of last year, when the overall rate reached +3.0%, the slowdown in inflation is positive. This moderation in the general rate is mainly due to the fall in the prices of energy products. By the end of the year, our estimates point to +2.5%.
