France Taux d'inflation

The annual inflation rate in France was confirmed at 1.3% in December, in line with initial estimates and unchanged from the previous month. This stability in inflation is attributed to the year-on-year rebound in energy prices (1.2% vs -0.7%), which was offset by a slowdown in service costs (2.2% vs 2.3%), the stabilization of food prices (vs 0.2%), and a slightly larger decline in costs of manufactured goods (-0.4% vs -0.3%). Meanwhile, tobacco prices rose at the same rate as in November (8.7%). Compared to the prior month, consumer prices rose 0.2%, consistent with estimates, following a 0.1% decline in November. This increase was driven by a seasonal rebound in airfare prices (16.7% vs -11.4%). The EU-harmonized CPI rose 1.8% annually, up from 1.7% in November, and increased 0.2% monthly, both aligning with preliminary estimates.