France's consumer price index rose in line with forecasts in January

According to the report from the INSEE, in January 2021, the Consumer Price Index (CPI) rose by 0.2% over one month, as in December 2020. The food prices rebounded (+0.4% after –0.4%) and those of tobacco rose by 0.3% after being stable in the previous month. The service prices slowed down (+0.1% after +0.5%). The prices of energy increased at the same rate as in the last month (+1.7%) and those of manufactured goods decreased as in December (–0.4%).

Seasonally adjusted, consumer prices rose by 0.7%, after being stable in December.

Year on year, consumer prices rose by 0.6% after being stable in December. The service prices (+0.8% after +0.7%) and those of tobacco (+12.7% after +12.5%) accelerated. The prices of manufactured goods rebounded sharply (+0.8% after –0.9%), due to the offset of winter sales. The decrease in the energy prices softened (–5.8% after –7.0%) in the wake of petroleum product prices. The food prices grew, year on year, at the same rate as in the last month (+1.0%).

Year on year, core inflation rose, in January, up to +1.0% after +0.2% in December. The Harmonised Index of Consumer Prices (HICP) rose by 0.3% over one month after +0.2% in the previous month; year on year, it increased by 0.8% after being stable in December.