UK Retail Sales fall 0.1% MoM in June vs. -0.3% expected

The UK retail sales arrived at -0.1% over the month in June vs. -0.3% expected and -0.8% previous. The core retail sales, stripping the auto motor fuel sales, stood at 0.4% MoM vs. -0.4% expected and -1.0% previous.          

On an annualized basis, the UK retail sales plunged 5.8% in June versus -5.3% expected and -4.7% prior while the core retail sales fell by 5.9% in the reported month versus -6.3% expectations and -5.5% previous.

Main points (via ONS)

Non-store retailing (predominantly online retailers) sales volumes fell by 3.7% in June 2022; sales volumes were 20.8% above their February 2020 levels.

Automotive fuel sales volumes fell by 4.3% in June 2022 with retailers suggesting the fall was linked to record-high petrol and diesel prices impacting the amount of fuel people were buying.

Non-food stores sales volumes fell by 0.7% over the month because of falls in clothing stores (negative 4.7%) and household goods stores (negative 3.7%), such as furniture stores.

Food sales volumes rose by 3.1% with retailers confirming that increased sales were because of Queen’s Jubilee celebrations.

FX implications

GBP/USD is holding the lower ground on mixed UK Retail Sales data. The spot was last seen trading at 1.1960, down 0.28% on the day.