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Financial News: France Inflation Rises Slightly In June

France Inflation Rises Slightly In June

06/30/2021 - 05:39:00 (RTTNews)

(RTTNews) - French consumer price inflation rose slightly in June driven by the rebound in manufactured goods prices, the provisional estimate from the statistical office Insee showed on Wednesday.

Consumer price inflation rose to 1.5 percent in June from 1.4 percent in May. The rate was expected to remain unchanged at 1.5 percent. Meanwhile, the harmonized inflation rose marginally to 1.9 percent, in line with expectations, from 1.8 percent in the previous month. Final data is due on July 13.

Manufactured product prices advanced 0.9 percent, reversing a 0.1 percent drop in May. Food prices were down 0.3 percent, as seen in May. Energy price inflation slowed to 10.9 percent and services cost grew at a slower pace of 0.9 percent.

On a monthly basis, consumer prices gained 0.2 percent versus a 0.3 percent rise in May. At the same time, the harmonized index of consumer prices moved up 0.2 percent versus 0.3 percent in the previous month. Another report from the statistical office Insee revealed that producer prices in domestic market grew at a faster pace of 6.6 percent annually in May after climbing 6 percent in the previous month, as a consequence of the low prices observed in the spring of 2020 in connection with the health crisis.

On month, producer prices gained 0.5 percent, reversing a 0.8 percent drop in April.

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