The Banque de France raised its near-term GDP forecast after June activity improved across sectors, saying its monthly business survey and recent hard data show Q2 output rose 0.2%. The bank had previously flagged stagnation, which after a Q1 contraction risked leaving the economy close to recession. It said industrial activity strengthened markedly in June and services and construction have been recovering since May, easing some pressure on the government's efforts to rein in the budget deficit

The Banque de France raised its near-term GDP forecast after June activity improved across sectors, saying its monthly business survey and recent hard data show Q2 output rose 0.2%. The bank had previously flagged stagnation, which after a Q1 contraction risked leaving the economy close to recession. It said industrial activity strengthened markedly in June and services and construction have been recovering since May, easing some pressure on the government's efforts to rein in the budget deficit.