Tuesday February 21 2017
France Inflation Rate Revised Down Slightly To 1.3%
Insee l Rida Husna | rida@tradingeconomics.com

Consumer prices in France rose 1.3 percent year-on-year in January of 2017, lower than a preliminary figure of 1.4 percent rise but much faster than a 0.6 percent gain in December. It was the highest inflation rate since November 2012, mainly driven by a surge in cost of energy and a faster increase in prices of food and services while cost of manufactured products fell much less than in a prior month.

Year-on-year, upward prices pressure came from: food (1.3 percent), fresh food (9.0 percent), other food (0.1 percent), tobacco (+0.1 percent), clothing & footwear (5.1 percent), petroleum products (19.9 percent), actual rentals and services for dwellings (0.3 percent), health (0.3 percent), transport (1.1 percent) and other services (1.3 percent). In contrast, downward prices pressure was recorded for: medical products (-2.5 percent), other manufactured products (-0.7 percent) and communication (-01.1 percent). 

On a monthly basis, consumer prices fell 0.2 percent, after gaining 0.3 percent in the prior month and in line with expectations. Prices declined for: clothing and footwear (-12.4 percent), other manufactured products (-0.4 percent), transport (-3.5 percent) and communication (-3.4 percent). In contrast, cost rose for: food (0.4 percent), fresh food (2.8 percent), other food (0.1 percent), petroleum products (7.5 percent), healthcare (0.2 percent) and other services (0.4 percent). Cost was flat for: tobacco and actual rentals and services for dwellings.

In January, core inflation indicator (ISJ) went up 0.4 percent on the month, following a 0.1 fall in December. Compared to the same month a year earlier, it rose 0.7 percent, following a 0.4 percent rise in the preceding month.

The Harmonized Index of Consumer Prices (HICP)declined by 0.3 percent on the month, following a 0.3 percent rise in a month earlier while markets expected a 0.2 percent drop. Year-on-year, it rose 1.6 percent, compared to a 0.8 percent rise in December.




Thursday February 16 2017
France Jobless Rate Edges Down To 10.0% In Q4
Insee l Rida Husna | rida@tradingeconomics.com

Unemployment rate in France fell slightly to 10.0 percent in the three months to December of 2016, compared to an upwardly revised 10.1 percent in the September quarter while market expected 9.7 percent.

In metropolitan France only, with 2.8 million people, 9.7 percent of the active population was unemployed, down slightly from 9.8 percent in the previous three months. The unemployment decreased among youths and persons aged 50 and over while it increased for men aged 25 to 49. Compared to the previous year, it dropped by 0.2 percentage points. Among inactive people, 1.5 million wish to work but they are not considered as unemployed (unemployment halo). The number of people in the unemployment halo rose 21,000 quarter-on-quarter in the December quarter and up by 65,000 over a year.

In the December quarter, the employment rate of the population aged 15-64 years stood at 64.7 percent, up 0.1 percentage points compared to the third quarter. Permanent employment rate for people aged 15-64 came in at 48.7 percent, up by 0.2 percentage points quarter-on-quarter and by 0.1 percentage points year-on-year. Meanwhile, fixed term and temporary contracts employment rate stood at 7.5 percent, up 0.1 percentage points from the previous quarter and over the year.

The activity rate of people aged at 15-64  stood at 71.7 percent in the fourth quarter, the same as in the prior quarter but up 0.1 percentage points from the December quarter 2015.

About  6.2 percent of the persons employed were underemployed, decreasing by 0.1 percentage points over the quarter. Slack work stood at 0.2 percent of the persons employed. 




Tuesday February 07 2017
France Trade Gap Narrows To 6-Month Low In December
Ministère de l'Économie et des Finances | Rida Husna | rida@tradingeconomics.com

France recorded a trade gap of EUR 3.42 billion in December of 2016, compared to a EUR 4.37 billion deficit in November and below markets expectations of a EUR 4.20 billion shortfall. It was the smallest deficit since June, as exports rose 4.0 percent to EUR 40.42 billion while imports rose 1.4 percent to EUR 43.85 billion.

In December, sales went up for: aerospace industry products (37.7 percent), chemicals (1.3 percent), industrial & agriculture machinery (0.1 percent), electrical and household equipments (0.9 percent), automotive products (0.1 percent), metallurgical and metal products (0.2 percent) and refined oil (23.3 percent). In contrast, outbound shipments fell for: ships, train, bikes (-60.4 percent), natural hydrocarbons (-4.4 percent); works of arts, technical documentation, publishing products (-0.1 percent);  perfumes, cosmetics, cleaning products (-0.1 percent); wood, paper and cardboard (-2.9 percent); jewelry, toys, furniture (-4.7 percent), rubber products, plastics, various minerals (-4.1 percent), pharmaceuticals (-1.9 percent) and agricultural products (-1.8 percent).

Sales were higher to Asia (37.8 percent), the Middle-East countries (41.8 percent), the European countries outside EU (8.5 percent) and Africa (4.6 percent). In contrast, sales declined to America (-5.2 percent) and the EU countries (-1.3 percent).

Imports rose for: aerospace industry products (14.3 percent), perfumes, cosmetics, cleaning products (0.4 percent), automotive products (0.8 percent), pharmaceuticals (1.7 percent), metallurgical and metal products (3.0 percent), refined oil (19.3 percent) and agricultural products (9.8 percent). In contrast, purchases declined for: natural hydrocarbons (-5.1 percent), chemicals (-2.0 percent), industrial & agricultural machinery (-1.1 percent), electrical & household equipment (-0.2 percent); works of arts, technical documentation, publishing products (-5.0 percent); wood, paper, cardboard (-0.5 percent); textiles, leather (-0.1 percent); jewelry, toys, furniture (-1.7 percent); rubber products, plastics , various minerals (-1.5 percent) and ships, trains, bikes (-2.1 percent).




Tuesday January 31 2017
France Inflation Rate at Over 4 Year-High of 1.4%
Insee l Rida Husna | rida@tradingeconomics.com

Consumer prices in France are set to rise 1.4 percent year-on-year in January of 2017, following a 0.6 percent rise in December. It was the highest inflation rate since November 2012, driven by a surge in cost of energy and a faster increase in prices of food and services while cost of manufactured products fell further.

Year-on-year, prices of food went up 1.3 percent in January (from 0.7 percent in the prior month). Among food, prices rose for fresh food (8.7 percent, after a 5.6 percent rise) and those of other food went up 0.1 percent (compared to a flat reading). Cost of energy jumped 10.0 percent (from 4.3 percent) while that of services rose1.1 percent (from 0.9 percent). In contrast, cost fell for manufactured products (-0.3 percent from -1.0 percent).

On a monthly basis,  consumer prices  are expected to fall  0.2 percent, after a 0.3 percent rise in the previous month while market estimated a 0.5 percent decline.

The harmonised index of consumer prices are set to increase by 1.6 percent from a year earlier in January, after growing by 0.8 percent in December. On a monthly basis, consumer prices declined by 0.2 percent, compared to a 0.3 percent rise in the preceding month.


Tuesday January 31 2017
France GDP Growth Strongest In 3 Quarters In Q4
Insee l Rida Husna | rida@tradingeconomics.com

France GDP expanded 0.4 percent quarter-on-quarter in the December quarter of 2016, compared to a 0.2 percent growth in the three months to September and in line with market expectations, first estimate showed. It was the strongest expansion since the March quarter, as final domestic demand excluding inventory changes gathered momentum while foreign trade balance contributed slightly to GDP growth.

In the fourth quarter, household consumption rose 0.6 percent, following a 0.1 percent rise in the previous two quarters. Government expenditure rose 0.4 percent, compared to a 0.3 percent increase in the preceding quarter. Total gross fixed capital formation grew by 0.8 percent, much faster than a 0.3 percent growth in the September quarter. Final domestic demand (excluding changes in inventories) contributed 0.6 points to GDP growth, up significantly from 0.2 points in the prior quarter.

Exports increased by 1.1 percent, faster than a 0.5 percent rise in the third quarter. Imports also went up 0.8 percent, slowing sharply from a 2.5 percent increase in the preceding quarter. The foreign trade balance contributed positively to the economy (0.1 points after -0.7 points in the third quarter). In contrast, changes in inventories contributed negatively: -0.2 points after +0.7 points in the September quarter.

Year-on-year, the GDP grew by 1.1 percent, faster slightly than a 1.0 percent expansion in the third quarter.




Thursday January 12 2017
France Inflation Rate Confirmed at 0.6% in December
Insee l Rida Husna | rida@tradingeconomics.com

Consumer prices in France rose 0.6 percent year-on-year in December of 2016, following a 0.5 percent gain in November and matching preliminary figures. It was the highest inflation rate since May 2014, as an increase in prices of food, energy and services offset a decline in cost of manufactured products.

Year-on-year, cost increased for: food (+0.7 percent), fresh food (+5.6 percent), tobacco (+0.1 percent), petroleum products (+7.5 percent), actual rentals and services for dwellings (+0.4 percent), transport (+1.0 percent), communication (+2.3 percent) and other services (+1.1 percent). In contrast, cost fell for: clothing and footwear (-0.1 percent), medical products (-2.4 percent), other manufactured products (-0.8 percent) and health services (-0.2 percent). Cost was flat for other food.

On a monthly basis, consumer prices went up 0.3 percent, after remaining unchanged in the prior two months and in line with consensus. Prices increased for: food (+0.1 percent), fresh food (+0.1 percent), medical products (-0.2 percent), clothing and footwear (+0.6 percent), petroleum products (+1.0 percent), actual rentals and services for dwellings (+0.2 percent), transport (+5.1 percent) and other services (+0.3 percent). In contrast, cost fell for: medical products (-0.1 percent), other manufactured products (-0.1 percent) and communication (-0.6 percent). Prices were flat for: other food, tobacco and health services.

In  December, core inflation indicator (ISJ)  dropped by 0.1 percent on the month, following a 0.1 rise in November. Compared to the same month a year earlier, it rose 0.4 percent, following a 0.5 percent rise in the preceding month.

The Harmonized Index of Consumer Prices (HICP) remained unchanged on the month, the same as in the previous two months. Year-on-year, it rose 0.8 percent, compared to a 0.7 percent rise in November.


Friday January 06 2017
France Trade Gap Narrows to 3-Month Low in November
Ministère de l'Économie et des Finances l Rida Husna | rida@tradingeconomics.com

France recorded a trade gap of EUR 4.40 billion in November of 2016, compared to marginally revised EUR 5.15 billion in October while market s expected a EUR 4.90 billion shortfall. It was the smallest deficit since August, as exports rose 5.3 percent to EUR 38.81 billion while imports went up 2.8 percent to EUR 43.19 billion.

In November, sales went up for most categories: ships, trains, bikes (+187.2 percent), aerospace industry products (+21.7 percent), agriculture products (+6.9 percent), electrical and household equipments (+4.3 percent); works of arts, technical documentation, publishing products (+1.2 percent); perfumes, cosmetics, cleaning products (+2.5 percent), metallurgical and metal products (+2.2 percent), wood, paper and cardboard (+3.1 percent); computers, electronic & optical (+2.8 percent); textiles, leather (+0.1 percent), chemicals (+3.8 percent); rubber products, plastics, various minerals (1.6 percent); jewelry, toys, furniture (+3.8 percent), refined oil (+1.8 percent) and natural hydrocarbons (+8.7 percent). In contrast, outbound shipments fell for industrial & agriculture machinery (-0.1 percent). 

Sales were higher to America (+15.0 percent), the EU countries (+4.4 percent), Asia (+4.3 percent) and the Middle-East countries (+1.9 percent). In contrast, exports declined to Africa (-4.5 percent) and the European countries outside EU (-4.0 percent). 

Imports rose for: ships, trains, bikes (+3.3 percent), aerospace industry products (+0.8 percent), electrical and household equipments (+0.2 percent); perfumes, cosmetics, cleaning products (+1.5 percent), metallurgical and metal products (+1.6 percent), wood, paper and cardboard (+2.2 percent); computers, electronic & optical (+2.2 percent); textiles, leather (+0.9 percent), chemicals (+5.3 percent); rubber products, plastics, various minerals (+3.2 percent); jewelry, toys, furniture (+6.4 percent), refined oil (+15.7 percent), automotive products (+3.8 percent) and natural hydrocarbons (+17.1 percent). In contrast, imports fell for: agriculture products (-3.8 percent); works of arts, technical documentation, publishing products (-17.2 percent) and pharmaceuticals (-0.9 percent).


Tuesday January 03 2017
France Inflation Rate at 30-Month High of 0.6% in December
Insee l Rida Husna | rida@tradingeconomics.com

Consumer prices in France are set to rise 0.6 percent year-on-year in December of 2016, following a 0.5 percent gain in November. It was the highest inflation rate since May 2014, as an increase in prices of food, energy and services offset a drop in cost of manufactured products.

Year-on-year, prices of food went up 0.7 percent in December (from +0.3 percent in November). Among food, prices rose for fresh food (+5.5 percent, after a 2.2 percent rise in the prior month) while those of other food dropped (-0.1 percent, compared to a flat reading in November). Cost also increased for energy (+4.3 percent from +2.1 percent) and services (+0.9 percent from + 1.0 percent). In contrast, cost fell for manufactured products (-0.9 percent from -0.6 percent).

On a monthly basis,  consumer prices  are expected to go up 0.3 percent, after remaining unchanged in the previous two months while market estimated a 0.2 percent rise.

The harmonised index of consumer prices are set to increase by 0.8 percent from a year earlier in December, after growing by 0.7 percent in November and faster than consensus of a 0.7 percent gain. On a monthly basis, consumer prices rose 0.2 percent, after remaining unchanged in the preceding two months.


Friday December 23 2016
France GDP Growth Matches Expectations in Q3
Insee l Rida Husna | rida@tradingeconomics.com

France GDP advanced 0.2 percent quarter-on-quarter in the September quarter of 2016, compared to a 0.1 percent contraction in the three months to June and in line with second estimate, final figure showed. Growth was driven by private consumption, government spending and investment while net external demand contributed negatively to the economy.

In the third quarter, household consumption grew by 0.1 percent, after showing no increase in the previous quarter. Government expenditure rose 0.3 percent, compared to 0.4 percent rise in the preceding quarter. Total gross fixed capital formation rose 0.3 percent, following a stagnation in the June quarter. Final domestic demand (excluding changes in inventories) contributed 0.2 points to GDP growth.

Exports increased by 0.7 percent, faster than a 0.1 percent rise in the second quarter. Imports also went up 2.5 percent, following a 1.5 percent contraction in the preceding quarter. The foreign trade balance contributed negatively to the economy (-0.6 points after +0.5 points in the second quarter).  In contrast, changes in inventories contributed positively: +0.6 points after -0.8 points in the June quarter.

Year-on-year, the GDP grew by 1.0 percent, slower than a 1.3 percent expansion in the second quarter and slightly less than second estimate of a 1.1 percent growth.


Wednesday December 14 2016
France Inflation Rate Confirmed at 25-Month High of 0.5%
Insee l Rida Husna | rida@tradingeconomics.com

Consumer prices in France rose 0.5 percent year-on-year in November of 2016, following a 0.4 percent gain in October. It was the highest inflation rate since October 2014, as an increase in prices of food, energy and services offset a fall in cost of manufactured products.

Year-on-year, cost increased for: food (+0.3 percent), fresh food (+2.2 percent), tobacco (+0.1 percent), clothing and footwear (+0.2 percent), petroleum products (+4.1 percent), actual rentals and services for dwellings (+0.3 percent), health services (+0.2 percent), transport (+0.1 percent), communication (+2.9 percent) and other services (+1.3 percent). In contrast, cost fell for: medical products (-2.3 percent) andother manufactured products (-0.4 percent). Cost was flat for other food.

On a monthly basis, consumer prices remained unchanged, the same as in the prior month and matching consensus. Prices were lower for: food (-0.1 percent), fresh food (-0.1 percent), medical products (-0.2 percent), other manufactured products (-0.1 percent), health services (-0.2 percent), transport (-2.4 percent) and communication (-0.3 percent). In contrast, cost rose for: food (+0.1 percent), fresh food (+0.1 percent), other food (+0.2 percent), clothing footwear (+0.1 percent) and petroleum products (+1.3 percent). Prices remained unchanged for: tobacco, actual rental and services for dwellings and other services.

In  November, core inflation indicator (ISJ)  rose 0.1 percent on the month, following a 0.1 drop in October. Compared to the same month a year earlier, it rose 0.5 percent, the same as in the preceding month.

The Harmonized Index of Consumer Prices (HICP) remained unchanged on the month, the same as in October. Year-on-year, it rose 0.7 percent, compared to a 0.5 percent rise in the prior month.