Bank of France business sentiment indicator likely rebounded in August

The Bank of France business confidence indicator is expected to have rebounded slightly in August. According to a Societe Generale research note, the Bank of France Business Sentiment indicator for the manufacturing sector is anticipated to have risen a tad to 99 in August from 98 in the previous month.

The dull figures recorded from the beginning of the summer were possibly related to gasoline disruptions and strikes in the transport sectors, which are over now, and due to the July attacks, added Societe Generale.

A weaker euro, structurally lower oil price, low debt services costs and rebounded credit channels, and ongoing tax cuts are continuing to underpin the French business sentiment. The nation’s business sentiment is expected to remain close to the average of 100 in the coming 12 months.