- June retail sales -0.3% vs +0.1% m/m expected
- Prior +0.2%; revised to +0.4%
- June retail sales +0.7% vs +1.0% y/y expected
- Prior +1.6%; revised to +1.9%
Euro area retail sales disappointed in June amid a broad decrease in food store and non-food store sales combined. That’s a poor look but it at least comes together with a positive revision to the May numbers. Hence, it perhaps exacerbates the decline seen in the June report.
Of note, the volume of retail trade for food, drinks, tobacco fell by 0.5% on the month. Meanwhile, the volume of retail trade for non-food products dropped by 0.4%. That is all slightly offset by an increase in the volume of retail trade for automotive fuel in specialised stores, which increased by 1.5%.
The overall report mirrors the same kind of look from Germany. In case you missed it: Germany retail sales slump in June despite stronger petrol station sales again
That also explains better to contrast and increase in petrol station sales on the month for the region. That after the steep monthly declines there in April and May, which followed from the frontrun in sales during March.
In any case, the data here will not do anything to change the ECB outlook as it is very much a lagging indicator at this point in time.
This article was written by Justin Low at investinglive.com.