Report
DECREASE OF FRENCH INFLATION TO 1.6% IN DECEMBER
French inflation (CPI) de creased to + 1 . 6 % YoY in December , as expected , after 1.9% in November . French consumer prices were stable in December (vs -0.2% in Nov ember) , as the decrease by 2 . 4 % MoM in energy prices and by 0.2% in prices of manufactured products offset the increase of food prices ( 0. 6 % M oM ) and of services prices ( 0. 4 % M oM ) . Outlook : P ushed up by higher o il prices and the rise in taxes on energy and tobacco , French inflation (CPI) increased strongly in 2018, r eaching on average 1,9% (vs. 1% in 2017) . 2019 will be on the opposite characterized by the suspension of tax increase on fuel, electricity and gas as granted to t he yellow vest s and by lower oil prices . Thus, French inflation (CPI) should strongly de crease, reaching on average + 1. 1 % in 2019 .
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Véronique Janod
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