Eurozone retail sales fall unexpectedly in June

European Union — Eurostat reported that eurozone retail sales declined 0.3% month-on-month in June, contrary to economists' expectations of a 0.1% increase. This followed a 0.4% rise in May and a 0.4% fall in April. Year-on-year, retail sales grew 0.7%, down from 1.9% in May and below the forecast of 1.0%. Sales of food, drinks, and tobacco fell 0.5%, non-food products slid 0.4%, while automotive fuel sales rose 1.5%. ING Group economist Peter Vanden Houte noted that consumption remains a marginal driver of growth in the second quarter, with a genuine consumption boom unlikely. Among EU member states, Finland, Romania, and Germany saw the largest monthly declines, while Luxembourg, Portugal, Croatia, and Sweden recorded the highest increases.