France’s CPI dropped -0.3% MoM and slowed to +0.3% YoY in January, down from +0.8% in December, with the deceleration mainly driven by a steeper drop in manufactured product prices, particularly clothing and footwear.

• Manufactured products fell -1.2% YoY (Dec: -0.4%), marking a deeper annual contraction linked to an extended winter sales period.

• Energy prices declined -7.8% YoY (Dec: -6.8%), indicating faster deflation in energy costs and a larger downward pull on overall inflation.

• Services inflation slowed to +1.8% YoY (Dec: +2.1%), partly reflecting more moderate increases in health service fees compared with last year.

• Food inflation edged up to +1.9% YoY (Dec: +1.7%), with fresh food rebounding to +1.4% YoY (from -0.4%) while other food products held at +2.0%.

• Tobacco price growth cooled to +2.8% YoY (Dec: +4.1%), showing a deceleration linked to base effects.

• The Harmonised Index of Consumer Prices (HICP) increased +0.4% YoY (Dec: +0.7%) and declined -0.4% MoM, closely tracking the softer national CPI trend.