MNI: FRANCE DATA: Flash GDP (Q2 2019) Preview -......>

MNI: FRANCE DATA: Flash GDP (Q2 2019) Preview - 06:30 BST

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- Bloomberg Consensus: 0.3% q/q, 1.4% y/y; Prev (Q1): 0.3% q/q, 1.2% y/y

- Markets expect quarterly growth to maintain its Q1 pace - a more optimistic

projection than that of the Bank of France, which expects a moderation to 0.2%

- France's annual growth rate has outpaced that of Germany almost continuously

for the past two years

- The French economy is less exposed to swings in the global cycle than Germany,

as its growth model relies more on domestic demand

- As such, while external headwinds - including decelerating global growth,

trade disruptions, and a multitude of geopolitical uncertainties - pose a

threat, the economy should remain relatively resilient over the coming quarters

- Indeed, domestic conditions remain solid - a still-buoyant labour market, low

infl & easy credit conditions are supporting consumer spending & bus investment

- Moreover, additional fiscal measures unveiled in Apr - including a reduction

in income tax - should blow further wind into the economy's sails