German Retail Sales Struggles Amidst Rising Consumer Prices

It’s been a relatively busy start to the day on the Eurozone economic calendar this morning.

Following private sector PMIs from China over the weekend and this morning, the German economy was back in focus.

German Retail Sales

In September, retail sales slid by 2.5% month-on-month versus a forecasted 0.6% increase. Retail sales had risen by 1.2% in August. Year-on-year, retail sales was down by 0.9%.

According to Destatis, retail turnover was up 3.7% in September 2021 on the pre-crisis month of February 2020.

Market Impact

Ahead of the trade data, the EUR had risen to a pre-stat and current day high $1.15654 before hitting reverse.

The reversal saw the EUR fall to a pre-stat and current day low $1.15460.

In response to the retail sales figures, the EUR rose to a post-stat high $1.15592 before falling to a post-stat low $1.15508.

At the time of writing, the EUR was down by 0.09% to $1.15514.

Next Up

ISM Manufacturing PMI figures from the U.S along with October’s finalized Markit survey manufacturing PMI.

Following PMI numbers from China that continued to point to a further pickup in inflationary pressures, today and tomorrow’s PMIs and components will draw plenty of interest.

The PMI numbers from the U.S could well point to a further pickup in cost pressures ahead of the Eurozone and member state PMIs tomorrow.