France Inflation


Inflation moderates in September

In September, consumer prices fell 0.3% over the previous month, which contrasted the 0.7% increase recorded in August. The monthly reading reflected drops in prices for energy and services. As a result, annual inflation fell from 2.1% in August to 1.9% in September, which undershot market expectations of a 2.2% rate. The core inflation index, which excludes more volatile categories such as oil, fruit and vegetables, fell 0.1% over the previous month, which contrasted the 0.1% increase seen in August. Annual core inflation inched down from 1.3% in August to 1.2%, its lowest level since September 2011. Finally, HICP inflation (based on the harmonized index of consumer prices) edged down from 2.4% in August to 2.2%. Annual average HICP remained unchanged at August's 2.5%.


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France Inflation Chart

France Inflation September 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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