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- France consumer prices increased by 0.8% year on year in July
France consumer prices increased by 0.8% year on year in July
According to the report from INSEE, over a year, the Consumer Price Index (CPI) should rise by 0.8% in July 2020, after +0.2% in the previous month. Economists had expected a 0.3% increase. This rise in inflation should result from a rebound in manufactured products, linked to the postponed summer sales, and a smaller fall in energy prices. Contrariwise, the prices of food, and to a lesser extent services and tobacco, would slow down.
Over one month, consumer prices should rise by 0.4%, after +0.1% in the previous month. Economists had expected a 0.1% decrease. Service prices should accelerate seasonally during this summer period, and tobacco prices should rise after being stable last month. Contrariwise, food prices should fall further and energy prices would slow down. Finally, prices of manufactured products should stabilize after falling last month.
Year on year, the Harmonised Index of Consumer Prices should accelerate, to +0.9%, after +0.2% in June. Over one month, it should increase by 0.4%, after +0.1% in the previous month.
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