Macro View

(reading time: 2 mins)

Summing up, the job market in May stabilized at record levels, while Active population and Employed population keep growing in tandem, close to 2.5%YioY; so, stabilizing the unemployed people close to 350 000 and unemployment rate at 6.3%

The INE (Portuguese Statistic Institute) has just released May’s job preliminary data, namely Rate of Unemployment, Under Utilization Rate, Employed Population and Underutilization Population.    

The main highlights are the following:

1 – Unemployment rate in May, 6.28%; compares with 12MMA (12 months moving average): 6.44% and 3MMA: 6.32%;

2 – The Under-Utilization rate (takes in consideration the under-utilization population divided by a broad concept of Active population) went down 11bpMoM to 10.48%; compares with 12MMA: 10.88% and 3MMA: 10.64%;

3 – The Inactive Population went down -90bp YoY vs. 12MMA: -45bp and 3MMA: -104bp (+94bpMoM);

4 – Active population went up 2.5%YoY vs. 12MMA: 1.77% and 3MMA 2.53% (-24bp MoM):  

5 – The Employed population went up 2.6%YoY vs. 12MMA +1.80% and 3MMA 2.64% (-24bp MoM).

Our comments: the job market, in May, stabilized at record levels, Active population, 5 554 900; Employed population, 5 206 000; while unemployed people almost stable, around 350 000 (unemployment rate 6.3%). Active population and Employed population keep growing in tandem, close to 2.5% (please see graph below), so unemployed people remain stable.

Source: INE, AS Independent Research