French goods consumption to show firm growth in Q3

French goods consumption for September is set to confirm that consumption will remain the main engine of France growth in Q3. For September, however, consumer spending in France is expected to show a decrease of 0.3% mom. 

"A small increase is likely in the non-energy component for the seventh consecutive month. The mom fall would therefore stem from a drop in the energy component falling by over 2%, mainly due to lower household car usage in September than during July-August", says Societe Generale. 

Nonetheless, the numbers would represent a solid increase of 0.5% qoq for Q3 following a good performance over the summer. Overall, the September figures should point to a healthy 2% increase yoy as consumers respond to a recovery in disposable income.