French annual inflation accelerates to 3.4% in October on energy costs

By Gokhan Ergocun

ISTANBUL (AA) - Annual consumer inflation in France accelerated to 3.4% in October from 3.1% in September, driven by rising energy and services costs, according to provisional official data released on Friday.

The preliminary estimate from the National Institute of Statistics and Economic Studies showed consumer prices rebounded 0.4% month-on-month in October following a 0.3% decline in September.

Energy prices accelerated for the fourth consecutive month, jumping 24.1% year-on-year in October compared to a 21.3% increase in September, propelled by natural gas and petroleum products.

Services inflation climbed to 2.7% on an annual basis from 2.4% in September, supported by faster price gains in accommodation and transport services.

The decline in manufactured products prices eased slightly to minus 0.2% in October from minus 0.3% in the prior month.

Food inflation slowed to 1.2% year-on-year in October from 1.4% in September, with fresh food price growth cooling to 8% from 9.5%.

Tobacco prices rose 3.3% year-on-year, matching the pace recorded in September.

France's Harmonized Index of Consumer Prices, calculated for comparison across European Union members, rose 3.8% year-on-year in October, up from 3.4% in September.

On a monthly basis, the harmonized index climbed 0.4% after dropping 0.3% in September.

Final inflation figures for October will be published on Nov. 13, the statistical institute said.

Gökhan Ergöçün