Significant increase in retail trade – sector outlook

By: Trademagazin Date: 2024. 05. 07. 13:27

In March, retail sales volume increased significantly by 2% compared to the previous month, according to both seasonally and calendar-adjusted data. The trend is positive, however, business cycle indices suggest that consumer buying enthusiasm may only moderately increase in the medium term.

Performance of the retail sector: Based on the seasonally and calendar-adjusted data for March, the volume of retail sales expanded by 2.0% on a monthly basis. Following stagnation in January and a decline in February, this marks the first positive sign of rejuvenation in the retail sector, significantly aided by Easter falling in March this year (the effects of which are generally mitigated in the adjustment by the statistics office). Year-on-year, the growth was 4.2%, which seems notable compared to the data of previous months, largely due to the base effect, as this March is compared to the weakest month of last year. Growth is expected in the coming months on an annual basis, but no significant surge is anticipated yet.