France's national public audit office has said the eurozone's second biggest economy could be significantly exposed to macroeconomic shocks, because of its €154bn public deficit and lagging public finances. France's year-on-year inflation rate for July came in at 2.3%, up from 2.
2% in June, in line with analyst expectations, according to INSEE, France. The rise was mainly because of energy prices increasing to 8.5% in July, up from 4.
8% in June. Gas prices saw a marked surge, at 11.4% up from -10.
8%. However, services prices dropped to 2.5% in July, down from 2.
9% in the previous month. Food prices also slowed down to 0.5% in July, from 0,8% in June.
Tobacco prices remained stable at 8.7%, with manufactured goods' prices also seeing no change. Other services' prices also fell in July, coming in at 3.
8%, down from 4% in the previous month. This was mainly driven by the falling prices of cultural and recreational services, at 4.3% in July down from 5.
2%. Insurance services' prices also dipped to 7.4% in July, from 7.
9% in the previous month. Conversely, the prices of care and beauty and hairdressing salons increased 2.2% in July, back to the same pace as June.
The month-on-month inflation rate for July came in at 0.2%, up from 0.1% in June, as well as above market estimates of 0.
1%. The increase was mainly because of a seasonal hike in accommodation and transport prices, as well as a rise in gas prices. France has also released its figures for the second quarter of the year, .