French consumer spending rebounds in August following higher expenses on durable goods

Consumer spending in France rebounded during the month of August, remaining higher than what markets had initially anticipated, following higher expenditures on durable goods, including cars and other luxury items.

French consumer spending rose 0.7 percent in August from July after two consecutive months of decline, compared to market expectations of a 0.6 percent rise, data released by statistics agency INSEE showed Friday.

Further, spending on durable goods in August rose 1.9 percent from July, fueled by a 1.9 percent increase in durable goods spending. A 1.5 percent increase in spending on energy also supported the overall rise in consumer spending, the data showed.

Meanwhile, a firmer consumer spending throws some light that the French economy may be recovering after a depressing second quarter, when gross domestic product declined slightly after a strong start to the year.