By William Horobin

PARIS--French inflation strengthened less than expected in December when increases in services prices slowed and manufactured goods prices fell further than in November, statistics showed Tuesday.

France's consumer price index rose 0.3% on month in December and 0.6% on year, statistics agency Insee said. Analysts polled by the Wall Street Journal had forecast a 0.5% rise on month and a 0.8% rise on year.

On year, manufactured goods prices dropped 0.9% in December after a 0.6% decline in November. Services prices rose 0.9% on year, slowing slightly from the 1% increase in November.

France's HICP--the measure of inflation closely watched by the European Central Bank--rose to 0.8% on year in December from 0.7% in November, Insee said.

-Write to William Horobin at william.horobin@wsj.com

(END) Dow Jones Newswires

January 03, 2017 03:04 ET (08:04 GMT)

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