15 March 2017

2017- n° 65

In February 2017, consumer prices rose by 0,1% over a month and by 1.2% year on year Consumer price index - final results - February 2017

In February 2017, the Consumer Prices Index (CPI) recovered a little, at +0.1% over a month after a decrease by 0.2% in January. Seasonally adjusted, it edged down by 0.2%, after having risen by 0.7% in January. Year on year, consumer prices slowed down slightly (+1.2% after +1.3%).

Over a month, the slight increase resulted from a rebound in services prices and a rise in tobacco price. Food prices decelerated slightly due to fresh food prices. Winter sales having continued in February, manufactured products prices fell again, thus limiting the overall rebound. At last, energy prices were stable after five months of sharp increase.

In February 2017, services prices picked up to +0.3% over a month after a small downturn in the previous month. Year on year, they accelerated to +1.1% after +0.9% in January. Over a month, the rebound resulted mainly from these of airfares and communication. Indeed, airfares rebounded (+1.8%; +0.8% year on year), after a seasonnal fall in January (−11.8%). Prices of communication services recovered too (+0.7% after −3.4%; −0.3% year on year), due to a rise in some fees of mobile phone plans. Accomodation services prices grew sharply (+2.1% after −0.3%; +3.0% year on year). Health services prices rose again slightly (+0.2%; as in January; +0.3% year on year).

In Februay 2017, tobacco price grew by 0.9% after five months of stability, mainly because of tax increase. Year on year, it accelerated sharply (+1.0% after +0.1% in January).

Food prices decelerated slightly in February (+0.3% after +0.4%) due to a clear slowdown in fresh food prices (+1.8% after +2.8%). Excluding fresh products, food prices were stable over a month and rose by +0.1% year on year, as in the previous month.

In February 2017, winter sales ending later this year, manufactured product prices kept falling (−0.3%), unlike in February 2016 (+1.0%). Year on year, the drop in these prices was clearly sharper (−1.6% after −0.3% in January). Over a month, clothing and footwear prices dropped again sharply (−2.2% after −12.4%; −3.0% year on year). Manufactured products prices barely edged up (+0.1% after −0.4%; −0.9% year on year). A new fall in the prices of furniture and furnishings (−0.7%) and major household appliances (−0.3%) was offset by rising prices for plants and flowers (+2.3%), games and toys (+0.8%), newspapers and periodicals (+0.7%) and jewellery (+0.6%).

In February 2017, energy prices were unchanged after marked increases in the five previous months. Year on year, the rise in prices was steeper again: +11.4% after +10.3% in the previous month.

The monthly stability came in the one hand from a slight rise in petroleum products prices (+0.2% after +7.5%; +21.8% year on year), in the wake of Brent crude price, and on the other hand, from a downturn in the prices of natural gas and city gas (−0.5% after +5.0%; +2.9% year on year). Electricity prices have been stable since September 2016 (−0.3% year on year).

In February 2017, the core inflation indicator (ISJ) edged down by 0.4% over a month after a rebound of equal magnitude in January. Year on year, it slowed down sharply (+0.2% after +0.7% in the previous month). The Harmonised Index of Consumer Prices (HICP) recovered (+0.2% after −0.3% over one month); year on year, it rose at a slightly slower pace than in January (+1.4% after +1.6%).

Compared to the provisional estimates published on 28 February 2017, the year-on-year and month-on-month rates of change in the CPI in February 2017 are unchanged. For the HICP, the monthly change is increased by 0.1 points and the year-on-year change is confirmed.