France consumer confidence dips slightly in August
French consumer confidence dipped slightly in August despite a spike in Covid-19 cases and new rules requiring a pass to enter many retail outlets, according to a survey published Friday.
The INSEE official statistics agency said its monthly consumer confidence index fell to 99 from 100 in July. The index peaked at 102 in June - the highest since the pandemic started - as vaccination rates picked up and coronavirus restrictions were eased.
However, the proportion of households considering that it is a good time to make large purchases remained stable in August above the long-term average while saving intentions rose for the first time in three months.
Concerns about unemployment were also unchanged from July with 'help wanted' signs increasingly popping up as companies face growing trouble finding staff.
The government began requiring people earlier this month to show proof of vaccination to enter cafes, restaurants, trains and big shopping malls
The share of households expecting prices to rise in the coming months increased slightly as strained supply chains pass on extra costs to consumers.
After a stronger than expected first half of the year, French central bank governor Francois Villeroy de Galhau said on Thursday the bank could raise its 2021 growth forecast of 5.75% when it updates its estimates next month, adding that economic impact from the Delta variant of Covid was expected to be limited.