French Economy And ETF Dangle From Its Last Hope | ETF Trends

France and its related exchange traded fund (ETF) may sink into a recession like neighbors Germany and Britain, although leaders are acting to shore things up.

Consumer spending within French households shrank 0.4% in October, although French spending overall helped avoid a third-quarter recession. October proved to be a low point, as new cars and light trucks dropped off in sales and added to weaker monthly data, reports Nathalie Gentaz for Associated Press.

The fourth quarter may present more contraction throughout the nation, as the outlook remains uncertain. A dour mood seems to be taking over as more households have dipped into savings this quarter, report Anna Willard and Veronique Tison for Guardian UK.

French President Nicolas Sarkozy vows to protect their key industries, and he has launched a $25 billion fund to help keep French industry moving. Sarkozy said the fund would invest in viable firms in need of cash, and shore up the balance sheets of companies deemed vulnerable in the face of falling stock prices, reports Yann Leguernigou for Guradian UK.

Meanwhile, two women are vying to become the first women to lead the Socialist party. The hope is that whoever wins will eventually become the next leader of the country.

iShares MSCI France (EWQ), down 54.3% year-to-date.

France ETF

The opinions and forecasts expressed herein are solely those of Tom Lydon, and may not actually come to pass. Information on this site should not be used or construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any product.