Consumer morale up in France

Consumer confidence unexpectedly perked up in strike-plagued France in October as unemployment concerns eased.

Consumer confidence unexpectedly perked up in strike-plagued France in October as unemployment concerns eased.

Data showed French consumer confidence rose to an eight-month high this month, confounding forecasts for a slight decline.

France's national statistics office INSEE's monthly index of consumer confidence in the euro zone's second-largest economy rose to -34 from an unrevised -35 in September.

Analysts polled by Reuters had expected a reading of -36.

"In October, (fewer) households ... than in September ...anticipate an increase in unemployment," INSEE said, noting that the index of joblessness concerns dipped to 43 from 45.

French consumers' outlook for their personal finances also improved, rising to -17 from -19 while concerns about inflation rose to -27 from -30.

French economy minister Christine Lagarde said today she did not expect the prolonged strike action across the country to affect the government's forecast for GDP growth of 1.5 per cent this year.

France has been mired in social strife in recent weeks as the government has battled to push through unpopular pension reform in the face of waves of strikes and demonstrations.

Reuters