Spain Inflation Rate YoY Final

Info

History

Chart

Impact:

Low

Source: National Statistics Institute (INE)

Next Release:

Date:

Forecast: 2.2%

Period: Jun

What Does It Measure?

The Inflation Rate YoY in Spain measures the annual percentage change in consumer prices, reflecting the cost of a basket of goods and services consumed by households. Its primary focus is on price stability, assessing the overall level of inflation as well as key components such as food, energy, and housing costs.

Frequency

This inflation rate is released on a monthly basis, typically providing a preliminary estimate initially, followed by a final figure released approximately a month later.

Why Do Traders Care?

Traders closely monitor inflation data as it directly influences monetary policy decisions, impacting interest rates and overall economic growth. Positive or higher-than-expected inflation readings can be bullish for the euro, while lower-than-expected figures may exert bearish pressure on both the euro and Spanish equities.

What Is It Derived From?

The inflation rate is derived from the Consumer Price Index (CPI), which calculates price changes based on a survey of prices for a set basket of goods and services. The collection methodology includes extensive data from a range of consumer goods, and the calculation is performed by applying weighting to the components based on their importance to household expenditures.

Description

This event reflects the change in inflation rates on a year-over-year (YoY) basis, comparing the current data with that of the same period in the previous year. The YoY approach is particularly useful for eliminating seasonal variations, thus providing a clearer picture of long-term inflation trends and structural changes in the economy.

Additional Notes

The Inflation Rate serves as a crucial economic indicator, often viewed as a lagging measure since it reflects price changes that have already occurred. Its results are essential in assessing overall economic health and potential shifts in the European Central Bank's monetary policy trajectory, particularly concerning interest rates.

Bullish or Bearish for Currency and Stocks

Higher than expected: Bullish for EUR, Bearish for Stocks. Lower than expected: Bearish for EUR, Bullish for Stocks. Dovish tone: Signaling lower interest rates or economic support, is usually bad for the Euro but good for Stocks due to cheaper borrowing costs.

Legend

High Potential Impact
This event has a strong potential to move markets significantly. If the 'Actual' value differs enough from the forecast or if the 'Previous' value is significantly revised, it signals new information that markets may rapidly adjust to.

Medium Potential Impact
This event may cause moderate market movement, especially if the 'Actual' deviates from the forecast or there's a notable revision to the 'Previous' value.

Low Potential Impact
This event is unlikely to affect market pricing unless there's an unexpected surprise or a major revision to prior data.

Surprise - Currency May Strengthen
Actual deviated from Forecast on a medium or high impact event and historically could strengthen the currency.

Surprise - Currency May Weaken
Actual deviated from Forcast on a medium or high impact event and historically could weaken the currency.

Big Surprise - Currency More Likely To Strengthen
'Actual' deviated from 'Forecast' more than 75% of historical deviations on a medium or high impact event and may likely strengthen the currency.

Big Surprise - Currency More Likely To Weaken
'Actual' deviated from 'Forecast' more than 75% of historical deviations on a medium or high impact event and may likely weaken the currency

Green Number	Better than forecast for the currency (or previous revise better)
Red Number	Worse than forecast for the currency (or previous revise better)
Hawkish	Supports higher interest rates to fight inflation, strengthening the currency but weighing on stocks.
Dovish	Favors lower rates to boost growth, weakening the currency but lifting stocks.

Date	Time	Actual	Forecast	Previous	Surprise