Dutch Core Mixed, Portugal Clearer Deceleration (1/2)

Recapping a few of the national-level Euro inflation prints out earlier in the session:

Netherlands (5.6% of EZ HICP)–

• HICP -1.0% Y/Y (vs -0.3% prior); +0.6% M/M
• CPI -0.4% Y/Y (vs +0.2% prior); +0.5% M/M
• Dutch Y/Y HICP came in at a record low in the October flash estimate. The Netherlands statistics bureau reports that the negative CPI figure was due entirely to a 40.1% Y/Y drop in energy prices (ex-energy CPI was +5.1% Y/Y, vs 5.5% prior). Looking at core categories, Y/Y services CPI ticked up 0.1pp from September to 4.7%, with industrial goods ex-energy slowing 1.0pp to 3.4%.

Portugal (2.4% of Eurozone HICP)

• HICP: 3.3% Y/Y (vs 4.8% prior); -0.4% M/M
• CPI: 2.1% Y/Y (vs 3.6% prior); -0.2% M/M
• Portuguese inflation decelerated Y/Y in October largely on the back of energy base effects from Oct 2022 (the energy index was -12.0% Y/Y vs -4.1% in Sept).
• Unprocessed food prices also slowed to 4.0% from 6.0% prior with processed food at 4.5% vs 6.2% prior. Core CPI (ex-energy, unprocessed food) also continued to decelerate however, to 3.5% Y/Y (4.1% prior), and sequentially came in flat at 0.0% M/M (vs 1.2% prior).