French household consumption expenditure on goods dropped in volume in December. According to INSEE, household consumption fell 0.3 percent sequentially, after rising 0.7 percent in the prior month. In the fourth quarter as a whole, household consumption expenditure on goods rose 0.4 percent, after rising 0.5 percent in the prior quarter.
Energy consumption fell 1.8 percent in December, after it rose 1.5 percent in the prior month. Consumption fell particularly in gas and electricity due to temperatures well above the seasonal norms. Refined product consumption rose just slightly, the rise in fuel expenditure being countered by a fall in the consumption of diesel oil. In the fourth quarter, energy expenditure fell 1.2 percent.
Consumption of manufactured goods decelerated to 0.6 percent in December from November’s 1.2 percent. Durable goods purchased rose again but spending on clothing and textiles and the consumption of other manufactured goods fell. For the fourth quarter as a whole, manufactured good consumption rose strongly by 1.2 percent.
Durable good expenditure rose sharply again by 1.6 percent in December, driven by the consumption of transport equipment that accelerated to 2.7 percent, in particular new car purchases. On the contrary, housing equipment consumption fell a bit by 0.1 percent after rising 2.2 percent in the prior month. In the fourth quarter, durable good expenditure decelerated a bit to 1.8 percent after rising 2.9 percent in the prior quarter.
The consumption of “other manufactured goods” fell a bit by 0.1 percent in December, following a rise of 0.4 percent. In the fourth quarter, consumption rose 0.5 percent.
