–UK CBI Distributive Trades: Jul Reported Sales Vols +11% Vs +42% Jun
–UK CBI: Aug Expected Sales Balance +3% Vs +32% For July
LONDON (MNI) – Retail sales saw further growth in July, but it was
much less widespread than in June and less strong than retailers had
expected.
The reported sales volume balance for July dropped to 11 from 42 in
June, well below the 32 expected balance for July in last month’s
survey. The CBI attributed the weaker growth in part to the wet weather,
but said trading conditions were likely to remain tough.
The August expected sales balance was just 3, showing retailers are
fairly pessimistic about the month despite the Olympic games taking
place here.
The less widespread growth in turnover is being reflected down the
supply chain. The retail orders volume balance in July to 5 from 23 in
June and the expected order balance dropped to -1 for August from 21 in
July.
Judith McKenna, chair of the CBI distributive trades panel and Asda
chief operating officer said “retailers reported an anual rise in sale
and orders for the third month in a row but the incease was far slower
than firms had anticipated.”
“The unprecedented poor weather for the fime of year did not help
but retailers also expect conditions to remain tough during August. With
consumser confidence weak and wage growth remaining sluggish, the longer
term outlook for retailers remains challenging,” she added.
–London bureau: 44 20 7862 7492; email: wwilkes@marketnews.com
[TOPICS: MABDS$,M$B$$$]
