France consumer spending to recover in June

France consumer spending data is expected to realese on Friday. The country posted 0.1 mom growth in consumer spending in May. 

The French National Statistical Institute (INSEE) is expected to report that consumer spending on goods increased by 0.7% mom in June (1.5% yoy). Energy consumption is likely to recover after the weakness recorded in the last two months and should increase by 2.6% mom in June. The non-energy component is also likely to feed through, on the back of summer sales and buoyant auto sales says Societe Generale.

According to Societe Generale, "Overall, goods consumption likely contracted by 0.1% qoq in Q2. This is mainly attributable to energy consumption which we expect to have dropped by 1.7% qoq. As far as non-energy goods consumption is concerned, it likely rose by 0.2% qoq, mainly boosted by the automobile sector. Household consumption was the main growth driver in Q1, boosted by a combination of lower oil prices and low inflation. Further out, we expect consumption to ease over the coming months, on the back of increasing oil prices and recovering inflation."