Impacted by the Iran situation, France's economic growth unexpectedly stalled.
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```htmlGolden Ten Data reported on April 30 that the French economy failed to achieve growth in the first quarter, revealing its vulnerability to the threat of stagflation triggered by the Iran war. The French National Institute of Statistics and Economic Studies (Insee) stated that, due to trade drag and weak domestic demand, first-quarter GDP was flat compared to the last three months of 2025, which is below the market’s expected growth of 0.2%. Thursday’s data kicks off a wave of intensive data releases from major eurozone economies, which will culminate with the overall eurozone data. It is expected that the eurozone GDP will record a solid growth of 0.2%. However, these reports only cover the first month of the Middle East conflict and have not yet reflected the full impact of soaring energy costs on Europe’s economic slowdown. The French data already show the economy has been dragged down: consumer spending fell by 0.1% in the first quarter, household investment declined by 0.7%, and corporate investment also dropped by 0.2%. Due to a 3.8% drop in exports, net trade contributed negatively to GDP by 0.7%. An increase in inventory contributed 0.8%, partially offsetting the aforementioned drag.```
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