Differences in material conditions are a determinant that explains the little divergence between northwestern and southern Europe. This article approaches the evolution of prices in early modern Toledo (Spain). The price index includes new items such as housing and employs different baskets over time, reflecting changes in consumption patterns. During the city’s golden age, prices grew faster than in London, Paris, or Amsterdam. Wine, urban rent, and food prices experienced a great increase, coinciding with demographic growth and the arrival of the American precious metals. Prices slowed in the first half of the seventeenth century, throughout Castile’s demographic and economic decay.