Spain: Retail sales continue to fall
March 29, 2012
In January, retail sales fell 4.8% over the same month last year, which marked an improvement over the 6.4% drop recorded in December. Although the decline was broad-based, the monthly reading mainly reflected a sharp drop in sales of household goods. As a result of the softer decline in January, the trend now appears to have stabilised, with annual average variation in retail sales remaining unchanged at December's minus 5.8%, which is the lowest reading since December 2009. The negative trend in retail sales suggests that private consumption will continue to be a drag on economic activity going forward.