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Consumer Confidence Improves, Inflation Expectations Fall

FRANCE DATA
MNI (London)

FRANCE JUN CONSUMER CONF 85 (FCST 84); MAY 83

  • French consumer confidence improved by two points to 85 in June, one point stronger than consensus expectations.
  • Despite the recent upticks, the indicator remains well below the long-term average of 100.
  • Improvements were recorded across how consumers see their future financial situation, the living standard in France and unemployment prospects. Inflation expectations continued to cool sharply, aiding the general view of a stabilising economic environment.
  • Yet the decline in the propensity to make major purchases implies French spending is likely to remain pressured, with spending appetite remaining severely downtrodden.
  • This data follows an uptick in eurozone, Italian and German June consumer sentiment, implying a healthy step towards stabilisation this month.

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