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.
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.
Write to William Horobin at email@example.com
(END) Dow Jones Newswires
August 29, 2017 03:36 ET (07:36 GMT)