Markets, Business & Tech Briefing -- Tuesday, March 17, 2026

PSI Index Steady Near Year Highs

The PSI index closed Friday's session trading in the 9,115-9,182 range, holding near its annual high of 9,329. The index is up significantly from its 2026 low of 6,194, reflecting sustained investor confidence in Portuguese equities. Support sits at 8,433 with resistance at 9,530.

EUR/USD Holds Above 1.13

The euro continues to trade firmly against the US dollar, with EUR/USD hovering around 1.14 as markets price in divergent monetary policy trajectories. Analysts expect the pair to trade between 1.19 and 1.22 through spring, with the European Central Bank signalling a cautious approach to further rate adjustments.

Institutional Real Estate Investment Shifts Strategy

A structural change is underway in Portugal's institutional real estate market, with pension funds and large international managers now prioritising regulatory stability, energy efficiency, and ESG alignment over pure yield. Portugal's political predictability and moderate growth are attracting long-term capital, though the residential rental segment remains underdeveloped compared to European peers.

Lisbon Rents Among World's Most Expensive

Lisbon's average rent for a three-bedroom city-centre apartment has reached approximately 2,615 euros per month, according to Deutsche Bank data, placing it alongside Milan and ahead of Madrid and Barcelona. Rents in Portugal's capital continue to outpace wage growth, driven by tourism demand, foreign investment, and structural supply shortages.

Portuguese Exports Hit by Middle East Logistics Crisis

Companies including Silampos have hundreds of thousands of euros in goods stranded as destination ports in Dubai, Saudi Arabia, and Oman face severe disruptions from the Strait of Hormuz standoff. The Middle East represents roughly 10% of exports for affected firms. Orders are suspended rather than cancelled, but the cash flow impact is immediate.

Mercadona Reports EUR 26 Million Profit in Portugal

The Spanish supermarket chain posted profits of 26 million euros from its Portuguese operations, continuing its aggressive expansion with two new stores announced for April in Viseu and Covilha. The company is steadily building market share in Portugal's competitive grocery sector, challenging established players like Pingo Doce and Continente.

Portugal Ranks in Europe's Top 5 Startup Hubs

Portugal has secured a place in the European top five for startup ecosystems, according to Financial Times rankings, with twelve Portuguese startups featured. The D2 visa programme for entrepreneurs and the Digital Nomad Visa continue to attract international founders. Porto's ecosystem, anchored by the University of Porto's patent output, is growing particularly fast.

Michelin Guide 2026: Ten New Stars for Portugal

The Michelin Guide Portugal 2026 awarded first stars to ten restaurants across the country, with Fifty Seconds in Lisbon earning a second star. Porto emerged as the biggest winner with four new entries. Portugal now boasts 53 Michelin-starred restaurants, with the ceremony in Funchal also recognising Francisco Quintas as Young Chef of the Year.

High-Speed Rail Corridor Protected by Government Decree

The Council of Ministers has approved preventive measures for the Soure-Carregado section of the Porto-Lisbon high-speed rail line, requiring prior approval from Infraestruturas de Portugal for construction, land subdivision, or demolition along the route. The link will be developed through three public-private partnerships.

Porto Metro Ruby Line: Residents to Be Relocated

Thirteen households in Porto's Massarelos neighbourhood will be temporarily relocated starting March 25 to allow construction of the Ferreirinha bridge, part of the new Ruby Line metro extension. Metro do Porto will cover all costs. The 6.4-kilometre line, budgeted at 487.9 million euros and partly funded by the PRR, includes a new Douro crossing reserved for metro, pedestrian, and bicycle traffic.