France Inflation Rate Confirmed At 1.1% In March


Consumer prices in France rose by 1.1 percent year-on-year in March of 2017, following a 1.2 percent increase in February and matching the preliminary figure. It was the lowest inflation rate since December 2016, as prices for food and energy went up at a slower pace while cost of manufactured products fell.

Year-on-year, upward price pressure came from: Food (0.8 percent from 1.6 percent in February), of which fresh food (4.6 percent) and other food (0.2 percent); tobacco (2.8 percent from 1 percent), as a result of a tax increase; energy (9.9 percent from 11.4 percent), of which petroleum products (17 percent); and services (inflation steady at 1.1 percent), of which actual rentals and services for dwellings (0.5 percent), health (0.4 percent), transport (1.4 percent) and other services (1.5 percent). In contrast, downward price pressure was recorded mainly for manufactured goods (-1 percent from -1.6 percent in February).

Annual core inflation, which excludes public sector prices, the most volatile consumer prices and the tax measures, rose to 0.4 percent from 0.2 percent in February.

On a monthly basis, consumer prices rose 0.6 percent, after increasing by 0.1 percent in the prior month. The acceleration resulted from a rebound in the prices of manufactured products (2.5 percent) after the end of winter sales and from a further rise in tobacco prices (1.8 percent). By contrast, food prices slipped back (-0.3 percent) due to fresh products (-2.4 percent), and energy prices fell too (-0.5 percent), amid a drop in petroleum product prices (-1.6 percent).

The harmonised index of consumer prices rose by 1.4 percent from the previous year and by 0.7 percent month-over-month.
 
 

France Inflation Rate Confirmed At 1.1% In March


Insee l Chusnul Ch Manan | chusnul@tradingeconomics.com
4/13/2017 9:14:22 AM