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Household morale drops slightly in September

The French are less optimistic about their financial situation, their standard of living and the evolution of unemployment.

Household morale in France deteriorated slightly in September. They are less optimistic about their financial situation, their standard of living and the evolution of unemployment, INSEE indicated on Wednesday. The indicator that reflects household confidence stood at 83 points, two points less than in June, July and August, when it remained stable. This level continues to be “well below” its long-term average (100), stated the National Institute of Statistics.

The prospects for changes in their financial situation are valued more negatively than in August (-1 point) by the approximately 2,000 households surveyed by telephone, as is their past financial situation (-2 points).

On the other hand, households are more optimistic about the opportunity to save (+2 points): in detail, they are “slightly” more confident in their future saving capacity (+1 point), but less confident (- 1 point) than in August, when the index gained 4 points over its current savings capacity.

No more fears about unemployment

Regarding the economic context in France, fewer households think that the situation will improve in the next twelve months (-1 point). They are also less likely to consider that their standard of living has improved in the last twelve months (-3 points), to a level that is “approaching its lowest point in May 2023”.

Fears about the evolution of unemployment increase (+4 points) “for the third consecutive month.” However, they remain below their long-term average.

Faced with inflation, even more households (+3 points) think that prices will accelerate in the next 12 months, although this trend will slow down compared to August (+12 points compared to July).

Author: NLC with AFP
Source: BFM TV

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