France: Inflation rises in June
July 11, 2013
In June, consumer prices added 0.2% over the previous month, which came above the 0.1% increase registered in May and was in line with market expectations. The monthly increase mostly reflected higher prices for food and services.
Annual inflation inched up from 0.8%% in May to 0.9% in June, also in line with market expectations. Meanwhile, the core inflation index, which excludes more volatile items such as oil, fruit and vegetables, was flat over the previous month, which followed a 0.2% increase seen in May. Annual core inflation inched down from 0.5% in May to 0.3% in June.
Finally, annual HICP inflation (based on the harmonized index of consumer prices) inched up from 0.9% in May to 1.0 % in June. Nonetheless, annual average HICP moderated to 1.5% from 1.6% in May.
FocusEconomics Consensus Forecast panellists expect HICP inflation to average 1.5% in 2013, which is down 0.1 percentage points from last month's forecast. Next year, panellists project inflation to average 1.8%.