20 February 2020

2020- n° 39

In January 2020, consumer prices fell back by 0.4% over one month and increased by 1.5% year on year Consumer price index - final results - January 2020

In January 2020, the Consumer Prices Index (CPI) fell back by 0.4% over a month, after +0.4% in December. Manufactured product prices dropped seasonally, due to winter sales (−2,2% after +0.2%) and those in food (+0.4% after +0.6%) and energy (+0.5% after +0.8%) slowed down. Service prices were unchanged over a month, after a 0.5% rise in December. Moreover, tobacco prices barely increased over a month (+0.1% after a stability in December).

Seasonally adjusted, consumer prices rose by 0.3% in January, after +0.2% in December.

Year on year, consumer prices increased by 1.5%, as in December. This stability in inflation came from a slowdown in the prices of services, food and tobacco, offset by an acceleration in those of energy. Manufactured product prices dropped at the same pace as in December.

Year on year, core inflation barely decreased in January: +1.0% after +1.1% in the previous month. The Harmonised Index of Consumer Prices (HICP) fell by 0.5% over a month, after +0.5% in December; year on year, it slightly accelerated, to +1.7%, after +1.6% in the previous month.

Year on year, service prices were a little less dynamic than in December: +1.3% after +1.4%. The prices of transport services slowed down (+0.4% year on year after +2.6%). Heath service prices fell by 0.2% year on year after +0.6% in the previous month. Those of communication services slowed down for the second consecutive month (+1.8% after +2.1%). Contrariwise, the prices of “other services” slightly gathered pace (+1.7% after +1.6%). Finally the prices of housing-related services increased at the same pace as in the previous month (+0.8% year on year).

In January 2020, food prices rose by 2.0% year on year, after +2.1% in December. Those of fresh produces were a little more dynamic than in the previous month (+2.4% year on year after +2.1%): those of fresh fish (+7.6% after +3.2%) sharply accelerated, as those of fresh fruits (+3.2% after +1.7%), whereas the prices of fresh vegetables were stable after +1.9% in December. Excluding fresh produces, food prices slightly slowed down (+1.9% year on year after +2,1%).

Year on year, energy prices accelerated in January to +4.5%, after a +2.6% rebound in December. The prices of petroleum products were more dynamic (+6.5% year on year after +3.4%): over a month, they slowed down to +0.9% while in January 2019, they dropped by 1.9%. Moreover, gas prices fell again less than in the previous month (−7.0% year on year after −8.1%).

Year on year, manufactured product prices dropped at the same pace in January as in December (−0.3%). Clothing and footwear prices decreased by 0.3% year on year, as in the previous month. The drop in health product prices was barely accentuated (−2.0% after −1.9%). Finally, the prices of “other manufactured products” were stable after +0.2% in December: over a month, they fell more than in January 2019. Thus, furniture prices slowed down (+0.3% year on year after +0.6%) and those of “other appliances, articles and products for personal care” dropped more (−1.3% after −0.2%).

Compared with the provisional estimates published on January 31, 2019, the month-on-month and year-on-year changes in the CPI and that month-on-month in the HICP were confirmed. The year-on-year change in the HICP was up by 0.1 points.