French consumer spending drops unexpectedly in May
Consumer spending dropped 0.7 percent month-over-month in May, following a 0.1 percent slight decline in April. Economists had expected a flat reading for the month.
In May, consumption of durables fell sharply by 3.6 percent after three months of sustained rise. Expenditure on energy slid 1.0 percent, reversing a 0.8 percent climb in April.
The rebound in food and textile-clothing consumption mitigated the overall decline, the agency said.
On an annual basis, consumer spending grew 2.2 percent in May, below economists' expectations for a 2.5 percent increase. ■