(1888PressRelease)
November 08, 2008 - London, Retail sales fell 0.2% from August and by 1.6 percent compared to September 2007. Spend on non-food products dropped by 0.3 percent from August even as spending on food, drinks and tobacco remained unchanged.
As the financial crisis continues to spread, Europe’s largest economy Germany suffered the biggest drop in retail trade from August, falling 2.3 percent. Retail sales plunged 7.1 percent over the past twelve months in Spain. The biggest gainer Belgium grew 1.4 percent over August and 4.2 percent over September 2007.
Though the drop is less than expected, analysts seem to be certain of a 50 bps cut in the interest rates by European Central Bank to boost consumer spending. With Eurozone economy contracting 0.2 percent in the second quarter, this expectation has gathered momentum.
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