Euro zone retail sales rose more than expected in July, posting the largest monthly increase of the year despite the British vote in June to leave the European Union.
It wasn’t exactly shop till you drop, but there was good news for eurozone retailers in July.
Sales rose quite a bit more than expected, posting the largest monthly increase this year.
According to Eurostat retail sales – which are a guide to overall household spending – were up by 1.1 percent compared to June when there was a 0.1 percent fall.
And they increased by 2.9 percent from July last year.
Consumers seemed to have shrugged off post-Brexit vote uncertainty and the fact that the euro area’s two biggest economies – Germany and France – are showing signs of slowing down.
— EU_Eurostat (@EU_Eurostat) September 5, 2016
No Brexit vote effect
The boost in retail sales came in the month following the June 23 Brexit referendum, in a sign that consumers’ morale was not immediately hit by the British vote to leave the EU.
Monthly retail sales in the European Union as a whole were also the strongest of the year in July, growing 1.0 percent during the month, after a 0.2 percent fall in June. In Britain sales increased 1.3 percent in July after a 0.8 percent drop in June.
In the eurozone, monthly sales were boosted mostly by a 1.8 percent spike in consumer purchases of car fuel. Retail sales of food, drinks and tobacco products went up 1.1 percent.