- Berenberg
Retail sales in the largest economy of the Eurozone surged 2.5% in August of this year, while economists expected a slight improvement of 0.6%. Indicator for July, in turn, was revised to the positive side, as then sales declined 1.1% on a monthly basis. It has been the biggest increase of the indicator since June 2011. Analysts point on stable consumer and business sentiment despite Russian sanctions, as well as rising wages and high job security. Unemployment level in Germany remains at all-time lowest level. Alongside, consumer spending in France, the second-largest country of the single currency bloc, added 0.7% in August, while experts were waiting for a 0.2% decrease, meaning that French economy is on its way to recovery after a long period of stagnation.
Annual consumer price index in the Euro area remained at a record-low level of 0.3% in September, down from upwards revised 0.4% inflation a month before. As during recent months, the vast part of pressure on prices in the region was provided by energy, as it became 2.4% cheaper on a yearly basis. Food prices went down 0.9%. Meanwhile, unemployment level in the Eurozone remained at 11.5% in August, even though some countries raised analysts' optimism that situation is starting to improve.
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