Spain Core Inflation Rate YoY

Info

History

Chart

Impact:

Low

Latest Release:

Actual:

7.5%

Forecast: 7.5%

Previous/Revision:

Period: Feb 2023

What Does It Measure?

The Spain Core Inflation Rate YoY measures the annual change in prices of goods and services excluding food and energy, providing insight into underlying inflation trends. This indicator primarily assesses the stability of prices and the inflationary environment within the national economy.

Frequency

The Spain Core Inflation Rate is released monthly, typically around the end of the month, and represents a final figure that offers insight into past price changes.

Why Do Traders Care?

Traders closely monitor the Spain Core Inflation Rate because it serves as a crucial indicator of inflationary pressures, directly impacting monetary policy decisions by the European Central Bank. Higher-than-expected core inflation can lead to currency appreciation and bullish behavior in equities, while lower readings may signify economic weakness and lead to bearish market reactions.

What Is It Derived From?

The Core Inflation Rate is calculated using the Consumer Price Index (CPI), which surveys households on their consumption patterns and price changes across a range of categories. This calculation employs weighted averages of various goods and services to produce a comprehensive measure of price changes that exclude volatile items like food and energy.

Description

The preliminary data for the Core Inflation Rate reflects early estimates based on available price information, while final data presents a more comprehensive view after revisions. Market participants often react more strongly to the preliminary figures due to their timely release, though they adjust their expectations in response to final reports as they provide a more accurate representation of overall price stability.

Additional Notes

The Core Inflation Rate is generally seen as a lagging indicator, reflecting past economic conditions rather than signaling immediate shifts in economic activity. It relates to broader economic trends, as persistent inflation may influence interest rates and affect consumer spending across both Spain and the Eurozone.

Bullish or Bearish for Currency and Stocks

Higher than expected: Bullish for EUR, Bullish for Stocks. Lower than expected: Bearish for EUR, Bearish for Stocks. A dovish tone: Signaling lower interest rates or economic support, is usually good for the EUR but bad 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
Feb 15, 2023		7.5%	7.5%	7%