Sentiment in the French manufacturing sector declined in August amid increasing energy prices and slowing demand.
French manufacturing sentiment came in at 104 in the month, down from 106 in July, according to data from the national statistics office Insee released Thursday. Economists polled by The Wall Street Journal had forecast a reading of 105.
The fall in the headline index was led by a worsening of opinions regarding past production, as well as global orders, according to the survey. The increase in production expected, however, limited the decline of the headline index.
The business sentiment indicator–which includes all the economic sectors–stabilized at 103 in August, Insee said.
Write to Maria Martinez at maria.martinez@wsj.com