French Consumers Up Spending

25 July 2001

French consumer spending in June bounced back from monthly declines in April and May to rise 1.5% compared with the previous month.

The increase was well ahead of economists’ forecasts of 0.6%. June’s consumer spending was also 2.7% ahead of the equivalent figure a year ago.

Driving the increase were strong sales of cars (up 2% over the month following a 0.7% decline in May) and, following good weather and discounts on clothes, textiles (up 4.6% following May’s slide of 1.2%).

The figures add to hopes that robust domestic demand will help protect the eurozone’s second biggest economy from the global slowdown.

News source: BBC Online Business News (UK)