Holidays dent France's industrial production in May

There is usually a disruption to French industrial output in May due to numerous and fluctuating bank holidays. Last year, three bank holidays fell on a Thursday, resulting in many SMEs keeping their business closed the following day. Consequently, manufacturing production recorded a sharp fall (-2.5% mom, -2.8% yoy), notes Societe Generale. 

This year, although four bank holidays occurred in May, only one fell on a Thursday and, like last year, likely led to an extended weekend. Therefore, industrial production should decrease by 1% mom in May but increase by 1.1% yoy, estimates Societe Generale.