France: Inflation stable in May
June 12, 2014
Consumer prices were flat over the previous month in May, which mirrored the result recorded in April. The print came in a tad below the 0.1% increase that markets had expected. As the National Statistics Institute (INSEE) reported, May’s result reflected that an increase in prices for food products was offset by the decrease in prices for energy.
Annual inflation was stable at April’s 0.7% in May. The core inflation index, which excludes more volatile items such as oil, fruit and vegetables, was also flat over the previous month, thus marking an improvement over the 0.2% drop tallied in April. Annual core inflation edged down from 0.5% in April to 0.3% in May.
Annual HICP inflation (based on the harmonized index of consumer prices) was stable at April’s 0.8% for the second consecutive month. Annual average HICP inflation was stable at April’s 0.9% for the third consecutive month in May.