Brazil Retail Sales Mom

Retail sales in Brazil rose by 1% from the previous month in February of 2024, extending the upwardly revised 2.8% increase in the previous month, and surprising markets’ expectation of a 1% decline. The result underscored resilience from Brazilian consumers, raising expectations of some traction in the economy despite the persistently high real interest rates. Retail increased for pharmaceutical goods (9.9%), furniture and electronics (1.2%), and personal articles (4.8%). On the other hand, lower sales of fuel and lubricants (-2.7%) and food and groceries (-0.2%) prevented an even sharper increase. From the previous year, retail sales soared by 8.2%, the sharpest increase since May 2021.