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France is looking straight down the barrel of a deflation shock

French President François Hollande must now pay the price for kowtowing to the contraction polices of the eurozone. His country is sliding into deflation. French prices fell 0.6pc in January from a month earlier, and would have fallen even further without one-off tax rises. Manufactured goods fell 3pc, and clothing fell 15.4pc as retailers slashed [...]
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