Inflationary pressures slow in the United States and France

Inflationary pressures are showing signs of slowing in both the United States and France, though price levels remain high due to previous cumulative increases.

In the United States, the Producer Price Index (PPI) rose 4.7% year-on-year in July, down from 5.5% in June. Core wholesale inflation, excluding food and energy, also decelerated to 4.2%. This slowdown provides the Federal Reserve with more flexibility regarding interest rate decisions in September, although volatile gasoline prices and a cooling labor market remain key factors to monitor.

In France, consumer prices increased by 2.1% year-on-year in July 2026. While the pace of inflation has stabilized compared to the peaks of 2022-2023, prices have not decreased. Food prices have seen a cumulative increase of 22.3% since January 2021, meaning the average shopping basket remains significantly more expensive than before the energy crisis. This discrepancy between slowing inflation and high absolute prices continues to constrain household purchasing power.