France Business Confidence


Business confidence weakens in June

In June, the business sentiment index published by the National Statistical Institute (INSEE) fell a notch to 92 points from 93 points in May. The drop contrasted market expectations, which had business confidence remaining stable at 93 points. As a result of the monthly fall, business sentiment moved further below its long-term average of 100 points, where it has now languished since September 2011.

The monthly result reflected a further deterioration in general production expectations. In addition, demand and total order levels worsened notably over the previous month.

According to the Central Bank's monthly index of business activity (MIBA), GDP contracted 0.1% in the second quarter.


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