According to the final report from INSEE, consumer prices rose 0.1% in June, as expected, after being unchanged in May. The latest change is the result of the rising in prices of services (+0.3% after +0.1%) and in prices of manufactured products (+0.1% after +0.1%), which was largely offset by a fall in prices of energy (-0.8% after -1.2%), mainly those of petroleum products (-1.9% after -2.4%), and of food (-0.2% after +0.4%).
In annual terms, CPI rose by 2.2%, slowing compared to May (+2.3%). Economists had expected an increase of 2.1%. This slight decrease resulted from the slowdown in energy prices (+4.8% after +5.7%) due to the petroleum products (+0.7% after +2.9%). Conversely, the prices of services accelerated slightly (+2.9% after +2.8%).
Meanwhile, the core CPI grew by 1.8% per annum, accelerating compared to May (+1.7% per annum).
The data also showed that in June, the harmonized index of consumer prices (HICP) - an indicator that allows to compare inflation in France with inflation in European countries - rose by 0.2% on a monthly basis and by 2.5% per annum. In May, HICP increased by 0.1% for the month and by 2.6% per annum.