France's consumer price index (CPI) rose 1.8 percent year on year in June, down from 2.4 percent in May, according to data released by the French National Institute of Statistics and Economic Studies (Insee) on Friday.
The slowdown in inflation was driven primarily by a deceleration in energy prices, which recorded 11 percent in June year on year as compared with a 16.6 percent rise in May.
The easing also reflected a sharper decline in manufactured goods prices, which fell 1.1 percent after a 0.6 percent drop in May, partly due to a calendar effect related to seasonal sales, Insee said.
Service price inflation also slowed to 1.9 percent year on year from 2.1 percent in May, while food prices moderated to 0.9 percent from 1.1 percent. By contrast, tobacco prices increased at a slightly faster pace, reaching 3.3 percent.
On a monthly basis, the CPI fell 0.3 percent in June, following a 0.1 percent increase in May. According to Insee, the decline was mainly led by a sharp drop in energy prices, which fell 4.2 percent after rising 0.6 percent in May, with petroleum product prices plunging 7 percent.
Food prices also dropped 0.3 percent after increasing 0.3 percent in May, while manufactured goods prices decreased 0.4 percent after edging up 0.1 percent previously. By contrast, service prices rose 0.5 percent from the previous month, in line with the usual seasonal pattern.
Core inflation stood at 1 percent year on year in June, down from 1.5 percent in May, Insee said.
France's CPI growth slows to 1.8 pct in June
