Wednesday November 30 2016
France Inflation Rate at 25-Month High of 0.5% in November
Insee l Rida Husna | rida@tradingeconomics.com

Consumer prices in France are set to rise 0.5 percent year-on-year in November of 2016, following a 0.4 percent gain in October. It was the highest inflation rate since October 2014, as an increase in prices of food, energy and services offset a decline in cost of manufactured products.

Year-on-year, prices of food went up 0.3 percent in November (from -0.1 percent in October). Among food, prices rose for fresh food (+2.1 percent, after a flat reading in the prior month) while other food remained unchanged ( from -0.1 percent). Cost also increased for energy (+2.1 percent from +0.7 percent) and services (+1.0 percent from + 1.0 percent). In contrast, cost fell for manufactured products(-0.6 percent from -0.6 percent).

On a monthly basis,  consumer prices  are expected to remain unchanged, the same as in the prior month while market estimated a 0.1 percent fall.

The harmonised index of consumer prices are set to increase by 0.7 percent from a year earlier in November, after growing by 0.5 percent in October and faster than consensus of a 0.6 percent gain. On a monthly basis, consumer prices were unchanged, the same as in a month earlier.




Tuesday November 29 2016
France GDP Growth Confirmed at 0.2% QoQ in Q3
Insee l Rida Husna | rida@tradingeconomics.com

France GDP advanced 0.2 percent quarter-on-quarter in the September quarter of 2016, compared to a 0.1 percent contraction in the three months to June and matching a preliminary figure, second estimate showed. While investment and government spending rose, household consumption stagnated and net external demand contributed negatively to the growth.

In the third quarter, household consumption stalled for the second straight quarter. Government expenditure rose 0.3 percent, compared to 0.4 percent rise in the preceding quarter. Total gross fixed capital formation grew by 0.2 percent, following a stagnation in the June quarter. Final domestic demand (excluding changes in inventories) was virtually stable, contributing 0.1 points to GDP growth.

Exports increased by 0.5 percent, rebounding from a 0.1 percent decline in the second quarter. Imports also went up 2.5 percent, following a 1.7 percent contraction in the preceding quarter. The foreign trade balance contributed negatively to the economy (-0.6 points after +0.5 points in the second quarter).  In contrast, changes in inventories contributed positively: +0.7 points after -0.7 points in the June quarter.

Year-on-year, the GDP grew 1.1 percent, slower than a 1.3 percent expansion in the second quarter and in line with a preliminary estimate.




Thursday November 17 2016
France Jobless Rate Edges Up to 10.0% in Q3
Insee l Rida Husna | rida@tradingeconomics.com

Unemployment rate in France rose to 10.0 percent in the third quarter of 2016 from 9.9 percent in the June quarter.

In metropolitan France only, with 2.8 million people, 9.7 percent of the active population was unemployed, up slightly from 9.6 percent in the previous three months. The unemployment increased among youths and persons aged 50 and over while it fell for men aged 25 to 49. Compared to the previous year, it dropped by 0.4 percentage points. Among inactive people, 1.5 million wish to work but they are not considered as unemployed (unemployment halo). The number of people in the unemployment halo declined by 26,000 quarter-on-quarter in the September quarter and up by 70,000 over a year.

In the September quarter, the employment rate of the population aged 15-64 years stood at 64.6 percent, down 0.1 percentage points compared to the second quarter. Permanent employment rate for people aged 15-64 came in at 48.5 percent, down by 0.3 percentage points quarter-on-quarter and by 0.1 percentage points year-on-year. Meanwhile, fixed term and temporary contracts employment rate stood at 7.4 percent, the same as in the previous quarter and over the year.

The activity rate of people aged 15-64 increased  by 0.1 percentage points to 71.7 percent in the third quarter, which was the same in the September quarter 2015.

About  6.3 percent of the persons employed were underemployed, decreasing by 0.4 percentage points over the quarter. Slack work stood at 0.3 percent of the persons employed (-0.2 percentage points quarter-on-quarter).




Tuesday November 08 2016
France Trade Gap Largest in 5 Months
Ministère de l'Économie et des Finances l Rida Husna | rida@tradingeconomics.com

France recorded a trade gap of EUR 4.80 billion in September of 2016, compared to a downwardly revised EUR 4.2 billion in August while market expected a EUR 4.1 billion gap. It was the largest deficit since April this year, as exports fell 2.2 percent to EUR 37.13 billion while imports declined 0.6 percent to EUR 41.90 billion.

In September, exports went down 2.2 percent month-over-month to EUR 37.13 billion, mainly for: pharmaceuticals (-5.3 percent), automotive products (-7.7 percent); jewelry, toys, furniture (-2.2 percent), metallurgical and metal products (-1.2 percent); textiles, leather (-0.9 percent); wood, paper, cardboard (-1.6 percent); rubber products, plastics, various minerals (-1.5 percent); ships, trains, bikes (-13.6 percent), electrical and household equipment (-1.3 percent), agriculture products (-4.0 percent), refined oil (-10.8 percent), chemicals (-2.8 percent), works of arts (-14.7 percent) and aerospace industry products (-0.4 percent). In contrast, sales rose for: natural hydrocarbons (+18.8 percent) and industrial and agriculture machinery (+1.7 percent).

Sales were lower to the Middle-East countries (-15.1 percent), the EU countries (-2.8 percent), America (-1.9 percent) and Africa (-0.8 percent). In contrast, outbound shipments rose to  the European countries outside EU (+2.2 percent) and Asia (+0.5 percent).

Imports declined 0.6 percent to EUR 41.9 billion, mainly for: pharmaceuticals (-18.0 percent), automotive products (-12.0 percent), natural hydrocarbons (-5.5 percent); jewelry, toys, furniture (-5.9 percent), metallurgical and metal products (-4.3 percent), textiles, leather (-2.7 percent); wood, paper, cardboard (-2.4 percent), ships, trains, bikes (-8.1 percent), electrical and household equipment (-0.7 percent), agriculture products (-1.0 percent) refined oil (-0.7 percent) and chemicals (-1.1 percent. In contrast, imports went up for: industrial and agriculture machinery (+1.6 percent); perfumes, cosmetics and cleaning products (+2.0 percent), works of arts (+7.0 percent) and aerospace industry products +8.9 percent).




Tuesday November 15 2016
France Inflation Rate Confirmed at 0.4% in October
Insee l Rida Husna | rida@tradingeconomics.com

Consumer prices in France rose 0.4 percent year-on-year in October of 2016, the same pace as in September and matching preliminary estimates. An increase in cost of energy and services offset a decline in prices of food and manufactured products

Year-on-year, cost increased for:  tobacco (+0.1 percent), clothing and footwear (+0.2 percent), petroleum products (+1.8 percent), actual rentals and services for dwellings (+0.2 percent), medical services (+0.3 percent), communication (+3.2 percent) and other services (+1.3 percent). In contrast, cost fell for: food (-0.1 percent), other food (-0.1 percent), medical products (-2.5 percent), other manufactured products (-0.4 percent) and transport (-0.5 percent). Cost was flat for fresh food.

On a monthly basis, consumer prices remained unchanged, after declining 0.2 percent in the preceding month and below estimates of a flat growth. Prices were lower for: food (-0.1 percent), fresh food (-0.1 percent), medical products (-0.3 percent), other manufactured products (-0.1 percent) and ther services (-0.4 percent). In contrast, cost rose for clothing footwear (+0.4 percent) and petroleum products (+2.4 percent). Prices remained unchanged for other food, tobacco, actual rental and services for dwellings and communication.

In  October, core inflation indicator (ISJ)  fell 0.1 percent on the month, following a 0.2 rise in September. Compared to the same month a year earlier, it rose 0.5 percent, following a 0.7 percent rise in the preceding month.

The Harmonized Index of Consumer Prices (HICP) remained unchanged on the month, after falling a 0.2 percent in the previous month. Year-on-year, it rose 0.5 percent, the same pace as in the prior month.



Friday October 28 2016
France Economy Grows Less than Expected in Q3
Insee l Rida Husna | rida@tradingeconomics.com

France GDP expanded 0.2 percent quarter-on-quarter in the September quarter of 2016, compared to a 0.1 percent contraction in the three months to June while market expected a 0.3 percent growth, first estimate showed. While investment and government spending rose, household consumption unchanged and net external demand contributed negatively to the growth.

In the third quarter, household consumption stagnated for the second straight quarter. Government expenditure rose 0.4 percent, the same pace as in the preceding quarter. Total gross fixed capital formation grew by 0.3 percent, following a stagnation in the June quarter. Final domestic demand (excluding changes in inventories) was virtually stable, contributing 0.1 points to GDP growth.

Exports increased by 0.6 percent, faster than a 0.2 percent rise in the second quarter. Imports also went up 2.2 percent, following a 1.7 percent contraction in the preceding quarter. The foreign trade balance contributed negatively to the economy (-0.5 points after +0.6 points in the second quarter).  In contrast, changes in inventories contributed positively: +0.6 points after -0.8 points in the June quarter.

Year-on-year, the GDP grew 1.1 percent, slower than a 1.3 percent expansion in the second quarter.


Wednesday October 12 2016
France Inflation Rate Confirmed at 0.4% in September
Insee l Chusnul Ch Manan | chusnul@tradingeconomics.com

Consumer prices in France rose 0.4 percent year-on-year in September of 2016, compared to the previous three months and matching preliminary estimates. It was the highest inflation rate since October 2014, as an increase in prices of food and services offset a drop in cost of energy and manufactured products

Year-on-year, cost increased for: food (+0.50 percent), fresh food (+3.50 percent),  tobacco (+0.1 percent), actual rentals and services for dwellings (+0.9 percent), medical services (+0.3 percent), communication (+3.3 percent) and other services (+1.0 percent). In contrast, cost was flat for clothing and footwear (0 percent) and declined for medical products (-2.7 percent), other manufactured products (-0.3 percent), petroleum products (-1.4 percent) and transport (-0.6 percent).

On a monthly basis, consumer prices fell 0.2 percent, afte gaining 0.3 percent in the preceding month and in line with estimates. Prices were lower for: food (-0.5 percent), fresh food (-2.5 percent), other food (-0.2 percent), transport (-6.7 percent), and other services (-1.3 percent). In contrast, cost rose for clothing footwear (+7.9 percent), other manufactured products (+0.2 percent), petroleum products (+1.4 percent), and communication (+0.8 percent). Prices remained unchanged for tobacco, medical products, and actual rental and services for dwellings.

In  September, core inflation indicator (ISJ)  rose 0.20 percent on the month, following a flat reading in August. Compared to the same month a year earlier, it rose 0.7 percent, following a 0.4 percent rise in the preceding month.

The Harmonized Index of Consumer Prices (HICP) fell  0.2  percent month-on-month, after a 0.3 percent rise in the previous month. Year-on-year, it rose 0.5 percent, compared to 0.4 percent in the prior month.


Friday October 07 2016
France Trade Deficit Little Changed in August
Ministère de l'Économie et des Finances l Rida Husna | rida@tradingeconomics.com

France recorded a trade gap of EUR 4.26 billion in August of 2016, the same as a downwardly revised figure in the previous month and in line with expectations. Exports rose 2.1 percent to EUR 38.07 billion while imports went up 1.8 percent to EUR 42.33 billion.

Outbound shipments went up for: automotive products (+17.0 percent), aerospace industry products (+5.1 percent); computers, electronic & opticals (+2.4 percent), electrical & household equipments (+4.9 percent); perfumes, cosmetics, cleaning products (+0.4 percent), chemicals (+2.1 percent), metalurgical & metal products (+4.6 percent); rubber products, plastics, various minerals (+1.8 percent); textiles, leather (+1.5 percent) and pharmaceuticals  (+2.6 percent). In contrast, sales dropped for: natural hydrocarbons (-4.1 percent); ships, trains and bikes (-5.9 percent), works of arts (+-6.4 percent), refined oil (-5.9 percent), agriculture products (-10.6 percent) and jewelry, toys, furniture (-17.5 percent).

Sales were higher to Asia (+4.0 percent),  America (+13.1 percent) and the Middle-East countries (+40.8 percent). In contrast, sales dropped to the EU countries (-1.0 percent), the European countries outside EU (-4.9 percent) and Africa (-0.3 percent).  

Purchases rose for:  computers, electronic & opticals (+0.5 percent), electricals & household equipments (+1.9 percent); ships, trains, bikes (+2.3 percent); wood, paper, cardboard (+2.3 percent), chemicals (+3.2 percent), works of arts (+6.7 percent), metalurgical & metal products (+5.7 percent), rubber products, plastics, various minerals (+4.9 percent) , pharmaceuticals (+15.6 percent) and automotive products (+20.5 percent). In contrast, imports declined for: aerospace industry products (-6.7 percent), natural hydrocarbons (-1.9 percent); perfumes, cosmetics, cleaning products (-0.3 percent) and jewelry, toys, furniture (-2.4 percent).


Friday September 30 2016
France Inflation Rate at 23-Month High in September
insee l Aloysius Unditu | aloy@tradingeconomics.com

Consumer prices in France are set to rise 0.4 percent year-on-year in September of 2016, following a 0.2 percent gain in August. It was the highest inflation rate since October 2014 as an increase in prices of food and services offset a decline in cost of energy and manufactured products.

Year-on-year, prices of food went up 0.4 percent in September  (from +1.4 percent in August). Among food, prices rose for fresh food (+3.3 percent from 10.5 percent)  while other food products (-0.1 percent from +0.1 percent). Cost also increased for services (+1.3 percent from + 0.7 percent). In contrast, cost fell for energy (-1.2 percent from - 3.0 percent) and manufactured products (-0.6 percent from -0.5 percent).

On a monthly basis,  consumer prices  are expected to drop 0.2 percent compared to a 0.3 percent rise in the  in the prior month.

The harmonised index of consumer prices are set to increase by 0.5 percent from a year earlier in September after growing by 0.4 percent in August. On a monthly basis, consumer prices  rose 0.2 percent, slowing from 0.3  percent increase in the preceding month.


Friday September 23 2016
France GDP Contracts for 1st Time in Nearly 3 Years
Insee l Rida Husna | rida@tradingeconomics.com

French economy shrank 0.1 percent quarter-on-quarter in the June quarter of 2016, compared to stagnation in a preliminary reading and a 0.7 percent growth in the first quarter. It was the first contraction since the first quarter of 2013 as a rebound in exports was not enough to offset a decline in household consumption and investment.

In the  June quarter, households final consumption expenditure dropped by 0.1 percent (after  a 1.1 percent growth in the preceding quarter). In contrast, government spending grew by 0.4 percent, the same pace as in the previous three months. Total gross fixed capital formation decreased by 0.2 percent, after increasing 1.3 percent in the preceding quarter. Non-financial corporations' investment dropped by 0.4 percent, compared to a 2.1 percent growth in the March quarter. Final domestic demand excluding inventory changes made no contribution to GDP growth (after +0.9 points in the first quarter). 

Exports increased by 0.2 percent, rebounding from a 0.4 percent decline in the previous quarter. Imports fell 1.8 percent, compared to a 0.2 percent rise in the March quarter. That brought the foreign trade balance contributed positively to the economy (+0.6 points after -0.2 points in the preceding quarter). Changes in inventories also contributed negatively to GDP growth (-0.7 points after -0.1 points). 

Year-on-year, the economy expanded 1.3 percent, compared to a 1.4 percent expansion in the March quarter while markets estimated a 1.4 percent growth.