French inflation falls to four-year low

French inflation has fallen below the European Central Bank’s 2% target, reaching its lowest level in more than four years.

Consumer prices rose 0.6% in May compared to the same period last year, the weakest pace since December 2020, according to Bloomberg News.

The data reflects a broader downturn in the 20-country eurozone, with inflation data from the region’s largest economies expected to fall below the ECB’s target for the first time in eight months.

The data revealed that energy costs in France fell 8.1% year-on-year in May, manufactured goods prices fell 0.2%, and service sector inflation fell to 2.1% from 2.4%.