The consumer price index is projected to increase by 2.1 percent year-over-year in June, slightly down from 2.3 percent in May, according to preliminary estimates. This modest decline in inflation can be attributed to a year-over-year deceleration in food and energy prices. Meanwhile, the prices of services, manufactured goods, and tobacco are expected to maintain their previous month's growth rate.

Month-over-month, consumer prices are anticipated to remain nearly unchanged in June, with a slight rise of 0.1 percent following a flat 0.0 percent in May. This stability reflects minor increases in the prices of services and manufactured products, while energy prices, particularly for petroleum products, and food prices are expected to decline. Tobacco prices should remain steady throughout the month.

The harmonised index of consumer prices is also forecasted to show a year-over-year increase of 2.5 percent in June 2024, compared to 2.6 percent in May. On a month-over-month basis, the index is predicted to edge up by 0.1 percent, mirroring the previous month's rise.

The consumer price index (CPI) is a measure of the average price level of a fixed basket of goods and services purchased by consumers. Monthly and annual changes in the CPI represent the main rates of inflation. The national CPI is released alongside the HICP, Eurostat's harmonized measure of consumer prices. A flash estimate was released for the first time in January 2016 and is now published towards the end of each reference month.

The consumer price index is the most widely followed indicator of inflation. An investor who understands how inflation influences the markets will benefit over those investors that do not understand the impact. In countries where monetary policy decisions rest on the central bank's inflation target, the rate of inflation directly affects all interest rates charged to business and the consumer. As a member of the European Monetary Union, France's interest rates are set by the European Central Bank.

France like other EMU countries has both a national CPI and a harmonized index of consumer prices (HICP). The HICP is calculated to give a comparable inflation measure for the EMU. Components and weights within the national CPI vary from other countries, reflecting national idiosyncrasies.

Inflation is an increase in the overall prices of goods and services. The relationship between inflation and interest rates is the key to understanding how indicators such as the CPI influence the markets - and your investments. As the rate of inflation changes and as expectations on inflation change, the markets adjust interest rates. The effect ripples across stocks, bonds, commodities, and your portfolio, often in a dramatic fashion.

By tracking inflation, whether high or low, rising or falling, investors can anticipate how different types of investments will perform. Over the long run, the bond market will rally (fall) when increases in the CPI are small (large). The equity market rallies with the bond market because low inflation promises low interest rates and is good for profits.