France: Consumer confidence falls in January
January 27, 2011
In January, the consumer sentiment index published by the National Statistical Institute (INSEE) fell to 85 points from 86 points in December, marking the second consecutive monthly decline. The reading matched market expectations, which anticipated worsening consumer sentiment amid increasing concerns about the economic recovery. With the January decline, consumer confidence fell further below its long-term average of 100 points. In January, households' opinion regarding the general economic situation compared to last year deteriorated compared to the previous month. In addition, more households believe that the general economic situation will deteriorate over the next 12 months and households' perceptions of their future financial situation also worsened, which is likely to see them delay major purchases in the coming months.