French household consumption spending declined less than expected during the month of December, and consumers turned in a stronger fourth-quarter performance than analysts predicted.
After rising by 1.4% in November, spending slipped by 0.1% in December, the French national statistics institute Insee said today. The decline was less than the -0.4% median forecast of analysts surveyed by Market News International.
LSA believe that the rise in consumer spending may be connected to the impending VAT increase which will come into effect over the coming months.
For the fourth quarter, consumer spending increased by 0.8% compared withQ3, well above Insee's most recent forecast for a 0.3% gain. The stronger Q4 performance stemmed from an increase in outlays for durable goods and food, and a smaller decline in energy spending, Insee said.
© 2014 - European Supermarket Magazine by Enda Dowling
