France Inflation


Inflation moderates further in December

In December, consumer prices rose 0.3% over the previous month, which contrasted the 0.2% drop recorded in November. The monthly reading reflected higher prices for transport and communication services. Annual inflation, however, dropped from 1.4% in November to 1.3% in December, the lowest level since February 2010, which was in line with market expectations.

The core inflation index, which excludes more volatile items such as oil, fruit and vegetables, rose 0.2% over the previous month, and followed the flat reading in November. Annual core inflation remained unchanged at October's 0.7%.

Finally, HICP inflation (based on the harmonized index of consumer prices) inched down from 1.6% in November to 1.5%. Annual average HICP moderated to 2.2% from 2.3% in November.


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France Inflation Chart

France Inflation December 2012

Note: Year-on-year and month-on-month variation of consumer price index in %.
Source: National Institute of Statistics and Economic Studies (INSEE).

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