Join +750K new investors every month who copy stock picks from billionaire's portfoliosSign Up Free

Australia retail sales grow less than expected in April

Published 28/05/2024, 11:40 am
© Reuters.
AUD/USD
-
AXJO
-

Investing.com-- Australia retail sales grew at a slower-than-expected pace in April as consumer spending remained under pressure from sticky inflation and concerns over high for longer interest rates. 

Retail sales grew 0.1% month-on-month in April, data from the Australian Bureau of Statistics showed on Tuesday. The figure was weaker than expectations for growth of 0.3%, and recovered marginally from the drop of 0.4% seen in March. 

The weak data furthered the notion that Australian retail spending had largely plateaued in 2024, and was showing sustained signs of weakness as consumers scaled back on discretionary spending. 

Retail sales also grew little year-on-year. Spending has been largely pressured by sticky inflation and high mortgage rates- both of which chipped away at household savings over the past year.

Sticky inflation also gives the Reserve Bank of Australia more impetus to keep interest rates high for longer. 

Still, cooling retail spending does factor into a softer outlook for inflation, and could herald softer inflation in the coming months. A monthly consumer price index inflation reading for April is due on Wednesday. 

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.