French headline inflation decelerates slightly in March

French headline inflation decelerated slightly in March. According to the provisional estimate, the consumer price index came in at 1.1 percent, following 1.3 percent rise in the prior month. The fall in inflation is probably from a deceleration in prices of services, food and tobacco. On the contrary, energy prices probably rose. At least, those of manufactured products dropped at the same rate as in February.

Sequentially, consumer prices rose 0.8 percent after a stability in February. Manufactured product prices recovered after the end of winter sales in February. Those of services and tobacco rose after a stability in the previous month. On the contrary, energy prices eased and food prices fell due to an accentuated fall in fresh product prices.

The provisional estimate showed that the Harmonised Index of consumer prices eased to 1.3 percent year-on-year from February’s 1.6 percent. Sequentially, it rose 0.9 percent from 0.1 percent in the prior period.

At 13:00 GMT the FxWirePro's Hourly Strength Index of Euro was neutral at -4.39488 while the FxWirePro's Hourly Strength Index of US Dollar was slightly bullish at 62.8239 more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex