French Inflation Rate at 5-Month Low in August


French consumer prices remained unchanged in August of 2015, following a 0.2 percent rise in the previous month. It is the lowest rate since April this year, as a decline in cost of manufactured products and energy offset an increase in cost of food and services.

Year-on-year, cost increased for: food (+0.8 percent), fresh food (+8.0 percent), tobacco (+0.3 percent), tobacco (+0.3 percent), actual rentals and services for dwellings (+0.9 percent), medical services (+0.3 percent), transport and communication services (+1.5 percent) and other services (+1.6 percent). In contrast, prices declined for: petroleum products (-12.5 percent), food excluding fresh products (-0.1 percent), medical products (-3.8 percent), clothing and footwear (-2.4 percent) and other manufactured products (-0.2 percent).

On a monthly basis, the consumer price index accelerated 0.3 percent in August, following a 0.4 percent decline in the preceding month. Prices increases were reported for: food excluding fresh products (+0.1 percent), clothing and footwear (+9.8 percent), other manufactured products (+0.3 percent), actual rentals and services for dwellings (+0.1 percent) and other services (+0.5 percent). In contrast, cost declined for: food (-0.1 percent), fresh food (-1.5 percent), petroleum products (-4.8 percent) and medical services (-0.4 percent) and transport and communication services (-0.6 percent).

In August, the core inflation indicator (ISJ) grew by 0.1 percent month-on-month (the same as in the previous month) and by 0.6 percent year-on-year (after +0.7 percent in July).

The Harmonized Index of Consumer Prices (HICP) was up 0.4 percent over a month and  0.1 percent year-on-year.

French Inflation Rate at 5-Month Low in August


Insee l Rida Husna | rida@tradingeconomics.com
9/15/2015 11:35:39 AM