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31.08.2016 06:54

French CPI below forecasts - Insee

In August 2016, according to the provisional estimate made at the end of the month, the Consumer Price Index (CPI) is set to rise by 0.3% month-on-month, as in August 2015. Prices should be mainly driven by the seasonal increases in the manufactured product prices at the end of the summer sales in Metropolitan France and in some services related to tourism. In addition, food prices should keep on rising slightly, especially owing to fresh foodstuffs. These increases are likely to be partially offset by a further decline in petroleum products prices.

Year-on-year, consumer prices should grow by 0.2%, as in the two previous months. This rise should arise mainly from the dynamism of service prices, partially offset by falls in the prices of energy and manufactured products.

In August 2016, the Harmonised Index of Consumer Prices is set to grow by 0.3% over the month. Year-on-year, it should expand by 0.4%, as in the previous month.

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