Indicators of the Bank of Portugal indicate that as of the end of April, the year-on-year change in activity was close to 30%.
According to the daily economic activity indicators released by the Bank of Portugal this Thursday, the pace of economic recovery stabilized in the first week of May.
The supervisor said: “During the week ending May 9, the Daily Economic Activity Index (DEI) showed similar changes to the previous week.” This means that the fourth and final stages of deflation have less impact than the first stage in March and April.
According to data from the Central Bank, in the week of May 6, the weekly moving average of the indicator indicated that the annual growth rate of economic activity was 27%. This is the same week when the moving average centered on April 29 represented a year-on-year growth of 27.2%.
Since the first month’s decline was very large, in the spring of last year, the Bank of Portugal recalculated the indicator to smooth out these changes, creating a new series. The supervisor said: “In order to reduce the impact of this very significant fundamental effect on economic analysis, a two-year interest rate was calculated, which is equivalent to the cumulative DEI change rate on the same day for two consecutive years.”
Judging from the speed of the past two years, the year-on-year changes indicate that the pace of recovery has slowed down. In terms of the weekly moving average centered on May 6, the year-on-year change was 1.2%, compared with 3.1% in the previous week.
The daily economic activity indicators summarize a set of quantitative and daily frequency information, such as road traffic of heavy commercial vehicles on highways, consumption of electricity and natural gas, cargo and mail landing at national airports, and in Portugal by residents and Composition of non-residents. Therefore, it can draw a real-time picture of the evolution of economic activity in the country-these are called high-frequency indicators.
News updated at 12:10 pm