Confidence reaches 13-year high in Germany but dips in France
CONFIDENCE among German shoppers has edged up to its highest level since 2001, but has stalled in France, according to figures published yesterday.
The German consumer confidence index, produced by market research firm GfK, climbed marginally to a score of 10.2 for June from 10.1 in May.
“Very strong domestic demand in Germany and the low rate of inflation are fuelling economic expectations and consumers’ willingness to spend,” GfK said in a statement. Meanwhile, the consumer confidence index from French statistical office Insee dropped one point to a score of 93, further below its long-term average of 100.
“The recent rise in oil prices is probably the culprit for the slight retracement in sentiment,” said economist Claus Vistesen from Pantheon Macroeconomics.
“Inflation expectations rose modestly to the highest since November last year, a clear sign that consumers are factoring in the rebound in oil prices into their price outlook.”