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Eurostat retail data signals eurozone slowdown

Retail trade volumes remain unchanged in September, with growth falling to 0.8% over the course of the year, pointing to an economic slowdown in the eurozone.

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Source: Bloomberg

Eurozone retail volumes remained unchanged in September compared with August in the eurozone, according to official data from Eurostat.

While across the 28 EU member states, retail trade volumes declined by 0.1%.

The data adds weight to the idea that European economic growth is beginning to slow down at a time when the EU is contending with a myriad of macro-economic headwinds, including Brexit and a banking crisis in Italy.

Food and drink prop retail sales figures

In the euro area in September 2018, compared with August 2018, the volume of retail trade increased by 0.4% for food, drinks and tobacco as well as for automotive fuel, while non-food products decreased by 0.5%. In the EU28, the retail trade volume increased by 0.8% for automotive fuels and by 0.1% for foods, drinks and tobacco non-food products, while non-food products fell by 0.3%.

Among member states, the largest increases in the total retail trade volume were registered in Ireland (+2.9%), Latvia (+1.5%) and Estonia (+1.4%). The highest decreases were observed in Portugal (-1.7%), Austria (-1.0%), as well as in Belgium and the United Kingdom (both -0.8%).

In the eurozone in September 2018, compared with September 2017, the volume of retail trade increased by 1.1% for automotive fuels, by 0.9% for food, drinks and tobacco, and by 0.7% for non-food products. In the EU28, the retail trade volume increased by 2.0% for non-food products, by 1.9% for automotive fuel and by 1.0% for food, drinks and tobacco.

The highest yearly increases in the total retail trade volume were registered in Ireland (+10.2%), Lithuania (+7.9%) and Poland (+6.5%). The largest decreases were observed in Belgium (-2.2%), Spain and Austria (both -1.5%).

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This information has been prepared by IG, a trading name of IG Markets Limited and IG Markets South Africa Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients. International accounts are offered by IG Markets Limited in the UK (FCA Number 195355), a juristic representative of IG Markets South Africa Limited (FSP No 41393). South African residents are required to obtain the necessary tax clearance certificates in line with their foreign investment allowance and may not use credit or debit cards to fund their international account.