France manufacturing confidence looking a bit soft

A clear deceleration in manufacturing output growth in line has been shown by recent surveys with softening of orders. 

The main reason for the weakness of orders appears to be a fall in export demand as this comes at a time when the euro area finally seems to picking up a bit of speed. 

The strength of the exchange rate and subdued global market conditions being the causes, the manufacturing PMI survey cited . Neither of those factors is likely to have improved in early June but it is believable the decisive election result will have boosted domestic demand and business confidence. 

Accordingly, total orders is expected to rise significantly and output expectations also to have increased