France, the second-largest economy in the European Union, just
released economic data that may leave you puzzled about the near-
to mid-term economic future of the iShares France exchange traded
- With unemployment expected to increase throughout 2010 to
10.5%, France's economic recovery looks tentative,
reports William Horobin of Dow Jones
- According to the European Commission, the French economy is
forecast to grow just 1.3% in 2010 and 1.5% in 2011.
According to Nathalie Boschat of Dow Jones
, a report by French statistics agency Insee shows that consumer
spending fell 1.9% in the first quarter of 2010 compared to the
same period last year.
- In addition, the deficit is set to grow to 8% of GDP in 2010
with debt expected to rise to 88.6% of GDP in 2011.
Data released concerning the services sector, however, is bit
According to Vicky Buffery of Forexyard
, "the Markit/CDAF final services purchasing managers' index (
) jumped to 59.2 in April, its highest level since December last
year and up markedly from a figure of 53.8 in March." [
France Takes Action Against Bankers.
Also, "the services new business index rose to its highest level
since December 2009, at 60.0 compared with 56.1 in March, while
work backlogs increased at their fastest pace in 44 months." [
Germany ETF: Better, But Still Hurting.
And "in a further positive sign, PMI figures showed the labor
market moved a step closer to stabilization in April, pushing the
composite employment index to its highest in 22 months."
For more stories on France, visit our
iShares MSCI France Index (
seems to be taking the more negative news hard; it's currently
well below its 200-day moving average at this point and down
Sumin Kim contributed to this article.