France Inflation Rate Confirmed at 25-Month High of 0.5%


Consumer prices in France rose 0.5 percent year-on-year in November of 2016, following a 0.4 percent gain in October. It was the highest inflation rate since October 2014, as an increase in prices of food, energy and services offset a fall in cost of manufactured products.

Year-on-year, cost increased for: food (+0.3 percent), fresh food (+2.2 percent), tobacco (+0.1 percent), clothing and footwear (+0.2 percent), petroleum products (+4.1 percent), actual rentals and services for dwellings (+0.3 percent), health services (+0.2 percent), transport (+0.1 percent), communication (+2.9 percent) and other services (+1.3 percent). In contrast, cost fell for: medical products (-2.3 percent) andother manufactured products (-0.4 percent). Cost was flat for other food.

On a monthly basis, consumer prices remained unchanged, the same as in the prior month and matching consensus. Prices were lower for: food (-0.1 percent), fresh food (-0.1 percent), medical products (-0.2 percent), other manufactured products (-0.1 percent), health services (-0.2 percent), transport (-2.4 percent) and communication (-0.3 percent). In contrast, cost rose for: food (+0.1 percent), fresh food (+0.1 percent), other food (+0.2 percent), clothing footwear (+0.1 percent) and petroleum products (+1.3 percent). Prices remained unchanged for: tobacco, actual rental and services for dwellings and other services.

In  November, core inflation indicator (ISJ)  rose 0.1 percent on the month, following a 0.1 drop in October. Compared to the same month a year earlier, it rose 0.5 percent, the same as in the preceding month.

The Harmonized Index of Consumer Prices (HICP) remained unchanged on the month, the same as in October. Year-on-year, it rose 0.7 percent, compared to a 0.5 percent rise in the prior month. 

France Inflation Rate Confirmed at 25-Month High of 0.5%


Insee l Rida Husna | rida@tradingeconomics.com
12/14/2016 8:35:58 AM