Eurozone retail sales dropped in May, confirming struggles in Q2

Eurozone retail sales dropped by -0.7% in May, reflecting a decline in overall services activity by -0.3% in April. This data confirms expectations of negative growth between April and June. Despite strong retail sales at the beginning of the year, May’s numbers fell, possibly due to higher saving rates and low consumer confidence. The services sector decline in April, especially in ICT and real estate, may impact second quarter GDP growth negatively. The overall trend remains sluggish, with uncertainty about a retail sales rebound. The PMI for services in June shows stagnation rather than recovery.

Read more at Investing.com: May Retail Sales Decline Confirms Eurozone’s Struggles in Q2