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Italy July retail sales fall 0.1 percent month on month

Published 25/09/2014, 11:09
© Reuters People walk in front of a department store having a sale in downtown Milan

Sept 25 (Reuters) - Italian retail sales fell a seasonally adjusted 0.1 percent month-on-month in July, led by lower food sales, after a revision showed an identical fall in the previous month, data showed on Thursday.

On an unadjusted year-on-year basis, retail sales fell 1.5 percent, after a revised 2.7 percent fall in June, national statistics bureau ISTAT said.

ISTAT had previously reported June sales were flat month-on-month and down 2.6 percent year-on-year.

The data underlined the fragile state of domestic consumer demand in the euro zone's third-largest economy, which slipped back into recession in the second quarter of the year.

© Reuters. People walk in front of a department store having a sale in downtown Milan

ISTAT said on Wednesday that consumer confidence rose in September for the first time in four months, but the decline in retail sales suggests a tax cut of 80 euros a month for low earners introduced by the government of Prime Minister Matteo Renzi earlier this year has not boosted spending.

(Isla Binnie, Rome newsroom, +39 06 8522 4350, fax +39 06 854 0568)

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