But we remain cautious because the car industry should weigh on spending while sales of household goods, which have shown steady growth, should see a correction in coming months,

We'll continue to assess the sales, profit and investment on each of our stores, but we do not expect another closing of this size in the near term. In retail you're always reviewing your fleet, making changes to the fleet whether it's closings or openings.

The rebound is very slow, gradual and uncertain. The survey shows a changing scenario in July, notably on the personal and general business outlooks which deteriorated significantly.

For the moment there is absolutely no sign of a turnaround, ... The impact of the global slowdown on the French economy will continue to be felt in 2002.

This is the highest inflation rate we've seen in over three years and much higher than 0.3 percent in June 1999, ... Euro-zone inflation should come in around 2.2 percent in June, and the ECB is likely to respond with a 25-basis-point rate rise in September.

The broad picture looks better than expected but we have to watch figures very carefully. A downward correction driven by a relapse in consumer spending is very likely in the fourth quarter. That's why I remain cautious.