France: Inflation decreased to 2.2% in June

Costs compared to May, it increased very little in June (+ 0.1%), according to the National Institute of Statistics (Insee). “This quasi-stability of prices results in an increase in the prices of services (+ 0.3% + 0.1%) and prices of manufactured goods (+ 0.1% + 0.1% later), which is mainly compensated by the decrease in energy is done. prices (-0.8% after -1.2%), mainly oil products (-1.9% after -2.4%) and food (+0.4% after -0.2 %). The price of tobacco is stable for a month, as it was in May,” the institute explains.

Total food prices during the year carefully checked by households on a daily basis It increased by 0.8% in June 2024 after +1.3% in May. Prices of fresh produce Due to lower prices of fresh vegetables (+ 3.1% after + 1.6%), fresh fish (+ 3.0% after + 2.3%) and fresh fruits (+ 3.0% after + 2.3%) , slowed down within a year (+ 2.1% + 3.5% later). 1.0% + 2.5% later). Excluding fresh produce, food price growth continues to slow over the year (+0.6% after +0.9%), particularly bread and cereals (+0.7% after +0.9%) ), meat (after +0.0%). 0.1%, milk, cheese and eggs (+ 0.5% + 0.8%), fats and oils (+ 3.0% + 3.3%), sugar, jam, honey, chocolate and confectionery ( + 1.3% + 1.4%) and alcoholic beverages (+ 1.6% after + 1.0%) and non-alcoholic (+ 1.8% after + 1.1%).

Increase in prices of services

One of the sensitive points is the increase in the prices of services, which make up more than half of the consumer price index. June rose 2.9% over the year compared to May’s 2.8%.

Inflation is now at its lowest level since September 2022, continuing a slow decline that began last summer after a small rise in May, when it rose 0.1 point from April. This increase in prices is moving closer to the European Central Bank’s (ECB) target of 2%, below which inflation will return to more normal levels compared to those experienced in France and Europe from mid-2021.

Although this is good news, it still needs to be put into perspective. This deceleration is less marked than predicted by a First estimate from INSEE (2.1%).

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