French consumer spending rebounded in July after a contraction in June as households in the eurozone's second-largest economy spent more on food and manufactured goods, statistics agency Insee said Tuesday.
Consumer spending rose 0.7% month-on-month and 2.1% year-on-year in July, Insee reported. Economists polled by the Wall Street Journal had forecast only a 0.4% rise on month and 1% on year.
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Insee also revised the consumer spending figures for June to a 0.7% decline from 0.8% previously.
The stronger-than-expected rebound indicates the French economy may continue to firm in the second half of the year after a strong performance in the first six months. In the quarter ending June, the economy grew 0.5% on quarter, the same pace as the previous two quarters.
The consumer spending figures for July showed particularly strong gains in spending on clothing and home furnishings. Energy consumption declined.
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(END) Dow Jones Newswires
August 29, 2017 03:36 ET (07:36 GMT)