Brazilian July retail sales smash forecastsChristian Fernsby ▼ | September 12, 2019
Brazilian retail sales in July chalked up their biggest rise so far this year, government statistics agency IBGE said on Wednesday.
LatAm Retail sales in Brazil grew 4.3% from the same month last year, IBGE said
Topics: Brazil retail sales
Retail sales grew 4.3% from the same month last year, IBGE said. That was more than double the 1.95% increase forecast in the Reuters poll, although the figure was boosted by the base effect from a rare year-on-year decline the previous July.
“The economy is recovering more slowly than expected, but it is recovering. August’s figures will certainly be worse, given the exchange rate volatility that month, but it’s a work in progress,” said Jason Vieira, chief economist at Infinity Asset Management in Sao Paulo.
The biggest drivers of July’s rise were supermarket, food and drink, and tobacco sales the biggest overall weight which rose 1.3%, while other personal and household goods rose 2.2% and furniture and household appliances rose 1.6%, IBGE said.
The only segment to register a fall in sales was office, computer and communication equipment, which fell 1.6% in July.
July’s figures bring retail sales back up to June 2015 levels, the IBGE said, although they remain 5.3% below the record heights reached in October 2014. ■