In January 2017, the French business climate falters slightlyBusiness climate indicator and turning point indicator - January 2017

In January 2017, the business climate has decreased slightly after a sharp rise in December. The composite indicator, compiled from the answers of business managers in the main sectors, has lost one point (after +3 points). However, at 104, it stands still above its long term average (100). The climate has gained four points in wholesale trade and one point in building construction. It is stable in industry. In contrast, it has lost four points in services and one point in retail trade.

Informations rapides
No 17
Paru le : 25/01/2017
Prochaine parution le : 26/09/2017 at 08:45 - September 2017

The French business climate indicator has lost one point

In January 2017, the business climate has decreased slightly after a sharp rise in December. The composite indicator, compiled from the answers of business managers in the main sectors, has lost one point (after +3 points). However, at 104, it stands still above its long term average (100). The climate has gained four points in wholesale trade and one point in building construction. It is stable in industry. In contrast, it has lost four points in services and one point in retail trade.

Graph1 – French business climate composite indicator

The turning point indicator for the French economy as a whole remains in the area showing a favourable economic outlook.

Revisions

Compared to their first estimation, some indicators have been revised because of late businesses' answers that have been taken into account. The business climate index of November 2016 in wholesale trade has been raised by 2 points and the turning point indicator of December 2016 in France has been revised upwards by +0.1 points.

Table – Business climate and turning point indicators

Business climate and turning point indicators
Sept. 16 Oct. 16 Nov. 16 Dec. 16 Jan. 17
Composite indicators
France 101 102 102 105 104
Manufacturing 103 103 102 106 106
Building construction 96 96 99 98 99
Services 102 101 102 106 102
Retail trade 102 100 104 107 106
Wholesale trade 98 - 98 - 102
Turning point indicators
France 0.6 0.2 1.0 1.0 0.8
Manufacturing 0.2 0.3 0.4 0.7 0.8
Building construction 0.2 –0.2 0.3 0.4 0.5
Services –0.2 –0.4 –0.2 0.8 0.2
Wholesale trade –0.4 - 0.0 - 0.9
  • Source: INSEE, Business tendency surveys

Graph2 – Turning point indicator

  • Close to +1 (resp. −1): favourable business climate (unfavourable), between +0.3 and −0.3: uncertainty area.

Documentation

Methodology (pdf, 125 Ko)