French Manufacturing Sentiment Deteriorates In October

(RTTNews) - France's manufacturing confidence weakened sharply in October, survey data from the statistical office INSEE showed on Thursday.

The business climate index fell to 92 in October from 99 in September. The score deviated sharply from its long-term average of 100.

Moreover, excluding the COVID-19 pandemic period, this was the biggest monthly fall since November 2008.

The balance of opinion on personal production expectations decreased sharply to -3 from +6 in the previous month. However, the one relative to general production prospects in the industry dropped only slightly to -12 from -11.

The balances of opinion associated with the level of order books, both overall and foreign, deteriorated and fell below their respective averages. They have reached their lowest level since the beginning of 2021.The overall order book balance registered -26 and foreign order books slid to -23.

The decline in the past production index doubled to -12 from -6. At the same time, the finished-goods inventory surged to 17 from 7.

Regarding the workforce size, the balance of opinion on its past change was stable at -3, while the one on its future change diminished to -2.

The balance of opinion relating to the expected trend in selling prices over the next three months increased anew to 6 from 2 and has returned above its average.

The economic uncertainty felt by business leaders clearly rebounded and has moved closer to its average. The corresponding index improved to 26 from 20.

Confidence among business managers from the main sectors, namely manufacturing, construction, services, retail and wholesale trade, weakened slightly in October. The overall business confidence index registered 97 compared to 98 in the previous month.