France: Consumer confidence recovers in January

Consumer confidence rebounded in January, according to the consumer confidence survey published by the National Institute of Statistics and Economic Studies (INSEE), which climbed 5 points from December’s four-year low to land at 91 points. Despite the improvement, the survey remained below the 100-point threshold—its long-term average—for a ninth consecutive month.

January’s upturn was nearly broad-based as consumers’ anxieties over their personal finances eased somewhat, although concerns over unemployment continued to mount. Moreover, consumers’ expected standard of living over the short-term increased sharply but remained below its long-term average. Inflation expectations, for their part, continued to ebb at the outset of the year.

FocusEconomics Consensus Forecast panelists expect private consumption to increase 1.4% in 2019, which is unchanged from last month’s forecast. The panel also expects private consumption to increase 1.4% in 2020.