15 March 2018

2018- n° 63

In February 2018, consumer prices were stable over a month and up by 1.2% year on year Consumer price index - final results - February 2018

In February 2018, the Consumer Prices Index (CPI) was unchanged, following a –0.1% downturn in January. Food prices barely edged down (−0.1%), in the wake of fresh product prices. Those of “manufactured product” decreased again, but less markedly than in January (−0.3% after −2.2%). Services prices slowed down for the second consecutive month (+0.1% after +0.2%). Lastly, energy prices were stable, the decrease in petroleum product prices being offset by a rise in gas and electricity prices.

Seasonally adjusted, consumer prices dropped by 0.3%, after an acceleration to +0.7% in January.

Year on year, consumer prices hardly fell in February 2018: +1.2% after +1.3%. This slight decrease in the year-on-year inflation resulted from a lesser rise in prices of services, food and tobacco. The “manufactured product” prices slightly rose and those of energy were up at the same pace as in the previous month.

In February 2018, the core inflation index (ISJ) diminished markedly (−0.4%) after +0.6% in January. Year on year, core inflation decelerated to +0.8%, after +0.9% in the previous month. The Harmonised Index of Consumer Prices (HICP) was stable after a slight downturn to 0.1% in January; year on year, it rose by1.3%, back from the previous month (+1.5%).

Year on year, services prices rose by 1.1% after +1.3% in January. This deceleration was due to a sharp slowdown of accommodation services prices (+0.1% year on year after +4.9%), owing to the shift in school holidays. Moreover, the decline in communication services prices widened in February (−0.9% year on year after −0.2%). In contrast, transport prices rebounded (+0.4% year on year after −0.2%) in the wake of airfares (+1.0% after −3.3%).

In February 2018, food prices slackened again year on year (+0.8% after +1.2%). The prices of fresh products have been down for the first time since August 2017 (−1.3% year on year, after +1.8%), in line with a significant fall in fresh vegetable prices (−5.6% year on year after +1.4%) and with the more pronounced decline in fresh fish prices (−1.2% after −1.0% in January). Excluding fresh products, food prices were up by 1.2% year on year, after +1.1% in January, due to the higher prices of meat (+1.5% year on year, after +1.2%).

Year on year, “manufactured product” prices grew slightly in February 2018 (+0.1%), for the first time since December 2012. This modest increased was explained by an acceleration in clothing and footwear prices (+1.1% year on year after +0.4%), women clothing prices falling significantly less than last year (−2.6% over the month against −4.3% in February 2017). The prices of “other manufactured products” increased by 0.3% year on year, as in the two previous months. The prices of equipment for sport (+0.9% after +0.1%) and those of new cars (+1.7% after +1.5%) gathered pace in February 2018 whereas the drop in information-processing equipment prices fell further (−4.9% after −4.3%). Besides, medical product prices decreased further in February (−2.4% year on year after −2.1%).

Energy infation was stable in February 2018 (+5.2% year on year). The prices of petroleum products slowed down for the third consecutive month (+7.1% year on year, after +7.9% in January), due to a sharp deceleration in diesel prices (+8.7% year on year, after +9.4%). On the contrary, town gas prices (+6.1% year on year after +4.4%) and, to a lesser extent, electricity prices (+2.1% year on year after +1.7%) accelerated in February.

Compared with the provisional estimates published on February 28, 2018, the month-on-month and the year-on-year changes in the CPI and the HICP were confirmed.