FX.co ★ French Business Sentiment Slightly Weakens

In March 2025, France's manufacturing climate indicator slightly decreased to 96 from February's 97, not meeting market forecasts and falling further below the long-term benchmark of 100. This minor dip was largely attributed to a growing pessimism regarding total order books, which fell from -24 to -26, and foreign orders that decreased from -17 to -22. Additionally, manufacturers expressed diminished optimism concerning future selling price trends, which slightly dropped from 6 to 5. On the brighter side, there was an improvement in sentiment about expected workforce changes, with figures moving from -4 to -3, as well as the general production outlook and personal production prospects, which rose to -12 from -15 and 7 from 6, respectively. Simultaneously, the measure of economic uncertainty reduced from 29 in February to 25. Confidence in the manufacturing sector, especially within food products and beverages, experienced a notable weakening, bringing the index to its lowest point since July 2024.