SA June retail trade sales up 3.5% y/y
Sales had been expected to increase by 3.4% year on year (y/y).
Higher activity among general dealers and clothing retailers supported the growth in sales. Figures showed that general dealers contributed 1.7 percentage points, while retailers in textiles, clothing, footwear and leather goods contributed 1.1 percentage points.
Barclays economists Peter Worthington and Miyelani Maluleke said in a research note that data such as weak credit growth and low consumer confidence pointed to a "more challenging" second quarter for consumers after the "fuel-spending boost" of the first quarter.
The fact that interest rates were raised last month could also see growth in retail sales slow somewhat as overindebted consumers carefully chose what to spend on amid stretched budgets.
Seasonally adjusted retail trade sales increased by 0.1% month on month in June following a rise of 0.1% in May.
Seasonally adjusted retail trade sales increased by 0.4% in the second quarter of this year compared with the previous quarter, but were up 3.1% when compared with the second quarter of last year. The main contributors to the increase were also general dealers, and retailers in textiles, clothing, footwear and leather goods.