RECENT ECONOMIC TRENDS

Inflation rate levels off. -Following the appreciable increase in the fi rst two months of the year , the Community consumer price index rose in March by about 0,8% (Graph 3 and Table 3) . The six-month increase, seasonally adjusted and expressed at an annual rate, suggests that the sharp acceleration in inflation evident since mid1978 has come to an end : since last autumn , the rate has been fluctuating around 14 % %. Denmark (1 ,6%) , the United Kingdom (1,4%) and France (1,2%) were the Member States with the highest month ly increase in March. In Italy, the increase (0,9%) was moderate compared with the high rates recorded in previous months. In all the Member States, the continued rise in energy product prices is still the main factor underlying the upsurge. However, in several countries it is now the pr ices of manufactured products wh ich are showing the fastest rate of increase. By contrast, the trend of foodstuff prices had a moderating effect in most cases in March. The rise in wholesale prices has generally remained sharp during recent months (Table 4). Finally, wages and salaries in the first quarter tended to grow more moderately, at least in the Member States for which the harmonized figures are already available (Table 5).