France’s CPI inflation lowest since September 2021

Annual consumer price inflation in France has slowed to its lowest level since September 2021 in April, a preliminary figure showed on Tuesday.

Annual CPI inflation decelerated to 2.2% in April from 2.3% in March, while market consensus had pointed to a bigger slowdown to 2.1%.

In April, prices rose at a slower rate for food (1.2% YoY compared to 1.7% YoY in March) and for tobacco (9% YoY compared to 10.7% YoY in March).

Conversely, cost of energy picked up (3.8% YoY compared to 3.4% YoY in March).

And, prices dropped for manufactured products (-0.1% YoY compared to a 0.1% YoY increase in March).

Services inflation remained steady at 3% in April, data by INSEE showed.

In monthly terms, consumer prices in the country increased 0.5% in April, while matching market estimates, following a 0.2% rise in the prior month.

The Euro was 0.06% firmer on the day against the British Pound, with the EUR/GBP currency pair last trading at 0.8538.

The Forex pair was attempting a rebound from a two-week low of 0.8528, which it registered in early Asian trade.