The word everyone wanted gone is back in the spotlight: inflation. In the United States, prices rose in May at the fastest pace since 2023, pushed by a surge in energy costs tied to tension in the Middle East.

The figure changed the conversation. Suddenly, markets stopped debating when rate cuts would come and started pricing in the opposite: the possibility of fresh hikes this year from the US Federal Reserve.

Why this does not stay in the US

The Fed is the most influential central bank on the planet, and its decisions ripple everywhere. When money gets more expensive across the Atlantic, pressure builds on the euro, on stock markets and, indirectly, on the rates we pay here.

For anyone with a mortgage in Portugal, the thread tying all this together is expectations. If the world believes rates will stay high for longer, Euribor tends to stay under pressure, and the monthly payment gives no relief.

It is not cause for immediate alarm, but it is cause for attention. A single monthly number does not make a trend; several do. The next inflation reports, on both sides of the Atlantic, will set the tone for the second half of the year.

See also: Euribor and what it is doing to mortgage payments and gold’s fall in this rate environment. Official communications at the Federal Reserve.

Coimbra no longer needs to drive to Loures or Matosinhos for a plate of meatballs. The city’s first IKEA store holds its pre-opening this Monday at Mondego Retail Park in Taveiro, and should open to the general public in late July — nine years after the Swedish brand’s last new store in Portugal.

When does IKEA Coimbra open?

The pre-opening takes place today, 6 July, with the public opening scheduled for the end of the month. The store launches under the motto “small but mighty”: 4,124 square metres — a far cry from the usual giant warehouses — with a curated selection of the most popular products, room-set inspiration, a grab-and-go essentials area and a Circular Area dedicated to the circular economy. And yes, there is IKEA Food, hot dogs and meatballs included.

What does it mean for the region?

Beyond the 34 direct jobs, the move says a lot about Portugal’s retail map: instead of megastores in the two big metropolitan areas, the brand is testing smaller formats in mid-sized cities — and Coimbra, with the whole Centro region around it, was the obvious candidate. For local furniture and homeware shops, the Swedish giant’s arrival is, depending on your point of view, a headache or a push to stand out.

See also: the Portuguese economy at mid-2026. Official details on the IKEA Portugal site.

South Korea’s exports grew 70.9% in June compared with a year earlier — the biggest jump since 1978 — and topped 100 billion dollars in a single month for the first time. The engine has a name: semiconductors, pushed by the global race for artificial intelligence.

Why are South Korea’s exports growing so fast?

Because the world is buying chips like never before. South Korean semiconductor sales surged almost 200% to 44.8 billion dollars, with demand for high-bandwidth memory and DDR5 chips — the components that feed AI servers — pulling everything upward. Shipments to China rose more than 90% and to the United States nearly 80%, a sign that investment in AI data centres is spreading across the world’s two largest economies.

What does this have to do with Portugal?

More than it seems. When South Korea sets records selling chips, it is a thermometer for the health of the global economy and the strength of the AI cycle — the same cycle that shapes electronics prices, component availability and the pace of tech investment in Europe. An export economy accelerating like this is usually good news for world trade, which Portugal also depends on.

See also: Portugal growing above the euro-zone average. Macro data at the Bank of Korea.

This is our running tracker of the markets that move savings in Portugal. Instead of a fresh article for every swing, we update this page whenever something matters: gold, Federal Reserve and European Central Bank decisions, oil and the main stock indices. For the background on the Portuguese economy, see our mid-year review. Official data is at the Bank of Portugal.

Updates

5 July 2026

Gold shone again at the start of July: it climbed close to $4,122 an ounce on 2 July, a jump of about 2.25% in a single day. Central banks, led by China, keep buying to diversify reserves and cut their dollar dependence, and the World Gold Council sees room for further gains by year-end. For savers, the metal remains a safe haven in a half-year marked by geopolitical tension.

4 July 2026

Wall Street closed the first half at record highs and pulled European savings along with it. Gold trades near a multi-week low as the market adjusts its bets on the Fed’s next move.

2 July 2026

Gold slipped to a recent low on expectations of higher rates for longer. Oil steady after the easing in the Strait of Hormuz.

30 June 2026

Month-end: gold posted a fourth straight monthly fall; European stocks swung on earnings and central-bank cues.

There is some good news hiding under July’s heat: Portugal is on track to end 2026 growing faster than the eurozone average. The exact figure depends on who is counting, but the more optimistic scenario has gross domestic product rising around 2.2% this year — ahead of the roughly 1.2% expected for the single-currency bloc as a whole.

What is driving Portugal’s growth?

There is no magic here. Behind the numbers sits a concrete mix: faster spending of the NextGeneration EU recovery funds, a rebound in wages that gives households a little breathing room, and a labour market that keeps adding jobs. Immigration, so often treated only as a political football, shows up here on the side of the ledger that props up growth and demographics.

It is not all sunshine. Inflation is stubbornly refusing to fall as quickly as anyone would like, pushed along by energy prices, and medium-term growth is expected to cool towards 1.5%. In other words: 2026’s momentum is welcome, but it is not something to take for granted in the years that follow.

Summer mode on the exchange

In the markets, the start of July has been calm and mildly upbeat. Lisbon’s stock exchange traded in the green, with the main index up around half a percentage point, and the euro held firm near 1.14 dollars. If your savings sit in funds or shares, it is one of those uneventful days — and lately, that alone counts as a relief.

If you want to see how the cost of money feeds into all this, it is worth revisiting what we wrote on the central bank’s stance in rates and Euribor and on the role of the recovery plan.

See also: the official figures are at Banco de Portugal.

Halfway through the year, the picture of Portugal’s economy is one of caution. Forecasts point to inflation hovering around 3% in 2026, driven mainly by costlier energy, before easing to close to 2.3% in 2027. It is not a runaway, but it is enough to feel at the supermarket till and in the accounts at the end of the month.

The start of the year did not help. After a 2025 that closed with some momentum, growth all but stalled in the first quarter of 2026, weighed down by severe storms in January and February and a sharp rise in energy prices in the spring. It is the difference between an economy accelerating and one moving sideways — and for now we are more in the second camp.

Tourism keeps pulling

The good news comes, once again, from tourism. The sector remains resilient, supported by advance bookings that give hotels and restaurants some predictability. The catch is up in the clouds: heavy reliance on air travel makes Portugal sensitive to fuel prices, and any surcharges on tickets could cool demand in the latter part of the year.

Overall, the country is navigating a phase of contained growth, far from the euphoria of 2025 but with no signs of rupture. For households, the practical message is the usual one in times like these: mind the budget, be careful with credit, and be patient with energy prices. We had already covered the markets’ record half-year and tourism’s resilience. The official forecasts can be consulted with the Bank of Portugal.

The first half of 2026 ended with US markets in a party mood. The Dow Jones closed at an all-time high, above 52,900 points, and the S&P 500 added around 9.6% over six months — its best first half since 2021. From far away it can sound like distant noise; for anyone with a pension plan or an index fund, it is real money on the move.

Why New York touches us

A big chunk of Portuguese long-term savings is, without most people thinking about it, exposed to US equities — through retirement funds, global ETFs or capitalisation insurance. When the S&P 500 rises, those products tend to gain; when it corrects, it is felt the same way. A strong half fattens statements, but it also leaves valuations stretched.

The other side of the coin

Not everything shone. Semiconductor stocks had jittery sessions and gold zig-zagged, slipping on fears of higher rates for longer. The evergreen lesson for the small investor doesn’t change: records are good news, but they are not an invitation to chase the market at the top. Spreading time horizons and asset types still beats guessing the next move.

For anyone just starting out, what matters is the investment horizon and the cost of the products, not a single day’s scoreboard.

See also: how the ECB’s rate rise moves your money. Official supervision data and investor alerts are at the CMVM.

If there’s one engine that never switches off in the Portuguese economy, it’s tourism. And within it, short-term accommodation — the apartments and homes rented briefly to visitors — is the most visible face of the phenomenon. The creation of new companies tied to this segment posted a striking rise, around a third in a single year, a sign that plenty of people are still betting on the business of hosting tourists.

A sector that creates jobs

Tourism is described as the largest industrial ecosystem for job creation in Portugal, and short-term accommodation is central to that machinery. Each apartment on the market feeds a chain: cleaning, maintenance, check-in, laundry, small local suppliers. When the sector grows, that effect multiplies across entire neighbourhoods.

The other side of the coin

Not everything is simple. The same short-term rentals that fill the coffers and create jobs are also blamed as one of the pressures on urban housing, by pulling homes out of the traditional rental market. It’s a delicate balance that town halls and the government try to manage with rules and zone-based limits.

For anyone thinking of entering the business, the advice is to do the cold maths: licences, taxes and seasonality change the bottom line a lot.

See also: why rents have started to fall. Official information at Turismo de Portugal.

Gold spent months as the star of the markets, the safe haven everyone wanted when the world looked shaky. Now it has turned around: the metal has slipped to multi-month lows, with futures falling into the four-thousand-dollars-an-ounce zone. Nothing dramatic for a long-term investor, but enough to remind everyone that not even gold rises forever.

Why it fell

The simplest explanation is called interest rates. When markets fear rates will stay high for longer, gold loses its appeal — after all, it pays no interest or dividends, and its only edge is acting as a safe harbour. If bonds and deposits start paying well again, some of the money sheltering in the metal goes looking for better returns.

What changes for you

If you hold a small reserve in gold, a correction like this is no reason to panic or sell in a rush. The metal still does its diversification job in a portfolio — the point was never to get rich on it, but to own something that behaves differently from stocks when they stumble.

The lesson applies to everything: no asset is immune to bad days, and chasing whatever has already risen a lot is the fastest way to buy expensive.

See also: how US markets are trading at record highs. Reference prices for the metal on the LBMA site.

If there is one sector still pulling the Portuguese economy along, it is tourism. It accounts for around 10% of the country’s entire workforce and, this year, it has once again attracted what every business loves: fresh investment.

A new investment cycle

After a few more cautious years, investors are eyeing Portuguese hospitality hungrily again. New hotels, refurbishments of older units, and projects in cities that used to be off the radar — from Braga to the Algarve, by way of a Porto that just keeps growing. Confidence is back, and it shows.

The explanation is simple: Portugal keeps breaking visitor records, the weather helps, and the country’s brand abroad has never been stronger. For investors, that translates into high occupancy rates and relatively predictable returns — a rare thing these days.

Not everything is rosy

There is, of course, the other side of the coin. The tourism boom pushes up house prices, fills historic centres, and raises the old debate about how far it should grow. Finding the balance between filling the coffers and not driving out the people who live here is the big challenge of the coming years.

Even so, the numbers speak for themselves: while the economy as a whole is advancing at a good pace — as we explained in the OECD outlook for 2026 — tourism remains one of the most reliable engines. Official sector data can be found at the Bank of Portugal.

There’s a line that keeps cropping up in reports on Portugal this year: the economy is still growing faster than the euro-area average. True enough — but read the small print, because 2026 got off on the wrong foot.

After years of drifting above the European average, with unemployment falling and public debt easing, the country caught a run of shocks right at the start of the year. Heavy storms in January and February, followed by a sharp rise in energy prices in March and April, all but stalled growth in the first quarter.

The numbers

Even so, GDP grew 2.3% year-on-year in the first quarter, an improvement on the 2025 pace. Forecasts point to real growth around 1.8% this year and 1.7% in 2027 — nothing spectacular, but above what’s expected for the euro area over the same stretch.

There’s more good news on the public accounts. Public debt fell below 90% of GDP in 2025 and should keep falling, even as the budget surplus gives way to a small deficit in 2026, with the state spending more to cushion the slowdown.

What to watch

The tender spot is inflation, which rose again on fuel, and a weaker external trade balance. Goods exports, mind you, still grew more than 10% in the year to March, which keeps the boat steady.

In short: solid growth, no euphoria, with energy and the external backdrop as the main clouds on the horizon.

See also: how Portugal’s cost of living is holding up. The full report is available from the OECD.

After a long run of cuts, the European Central Bank has thrown the gears into reverse. It raised its three key rates by 0.25 points, the first hike since 2023, taking the deposit rate to 2.25%. The reason is familiar: the war in the Middle East is pushing energy prices up and inflation is showing signs of stubbornness again.

What this has to do with your home

Everything, if you have a variable-rate mortgage. Most home loans in Portugal are pegged to Euribor, and Euribor moves closely with Frankfurt’s decisions. When the ECB cuts, payments tend to ease; when it raises, they tend to tighten. It is neither automatic nor immediate, but the direction counts.

No drama, but eyes open

The good news is that we were coming off lows: 12-month Euribor was sitting near 2.7%, well below the 4%-plus of 2023. A quarter-point rise does not transform the household budget overnight, but it puts the brakes on the expectation of ever-cheaper payments. The ECB also revised its inflation forecast upward for this year, a sign it may be in no hurry to cut again.

For anyone taking out a loan now, it is worth comparing offers and weighing whether to fix part of the rate.

See also: the Portuguese economy at the start of 2026 and bank valuations of homes at record highs.

Official decisions and statements at the European Central Bank.

There is a narrow stretch of sea with the power to push up what you pay at the pump. It is the Strait of Hormuz, the passage through which a huge slice of the world’s oil flows. With Middle East tension heating up, fears of disruption on that route are back, and crude has reacted by rising. When the barrel climbs, the rest of the chain follows.

From the barrel to the tank

Portugal does not produce oil, it imports almost all of it. So what happens thousands of kilometres away reaches the fuel sold here fast. Pricier crude pushes petrol and diesel up, and the effect does not stop at the car: freight, farming and industry feel it too, and part of that ends up reflected in consumer prices.

Why the ECB is watching

It is no coincidence that the European Central Bank cited energy when it raised rates. Expensive fuel feeds inflation, and inflation is exactly what central banks try to tame. It is a cycle: geopolitical tension, costlier energy, rising prices, rates reacting.

For now, it is worth following developments week by week, without panic. Straits like Hormuz have spooked markets many times without the worst materialising, but the market prefers to hedge.

See also: the ECB raising rates and US inflation rattling markets.

Context on energy’s impact on monetary policy at the European Central Bank.

The year started on a bumpy road for Portugal’s economy — storms in January and February, an energy-price jump in spring — and yet the numbers surprised on the upside. GDP grew 2.3% year-on-year in the first quarter, above the modest pace of 2025.

What is driving it

The engine is at home. Domestic demand, and investment in particular, was the big contributor, a sign that companies are more confident about spending and expanding. Much of that lift comes from RRP funds, which this year are expected to approach 2.3% of GDP in spending — quite a push.

Not everything points the right way. Imports grew faster than exports, and net external demand weighed on the result. Inflation is forecast around 3% in 2026 and unemployment holds at 6.3%, with wages rising slightly above prices.

The OECD picture

The OECD reads this as an economy more robust than feared, with public debt still falling — projected at 86.7% of GDP this year. It is not a boom, but it is stability on a jittery continent.

See also: US inflation and the return of rate talk and gold’s run of monthly falls. The regulator’s bulletins are at Banco de Portugal.

Anyone who bought gold at peak euphoria has had a queasy few weeks. The metal that looked unstoppable closed June heading for a fourth straight monthly drop, hovering around $4,000 an ounce, well below the record high of roughly $5,589 hit in January.

It is a serious correction: more than 25% below the peak. After months when gold only knew how to climb, the market remembered that nothing rises in a straight line.

What changed

Several forces pushed the same way. Expectations around interest rates shifted, with investors betting central banks may keep money expensive for longer to fight inflation. And when rates rise, gold, which pays no yield, loses shine against assets that do.

At the same time, any sign of geopolitical de-escalation pulls safe-haven demand. Gold lives on fear, and lately fear has swung with the talks between major powers.

Curiously, the big banks remain upbeat for year-end, with forecasts ranging from $4,900 to $6,300 an ounce. Nobody has called the cycle over, only cooled.

The lesson for the weekend investor is the usual one: gold is portfolio insurance, not a lottery ticket. Diversifying remains the most boring and most sensible advice.

See also: What is moving rates and Euribor and how term deposits started paying again. Data at Trading Economics.