Queensland floods impact retail sales in Australia
Retail sales in Australia rose a seasonally adjusted 0.2 percent in December, the Australian Bureau of Statistics said on Monday, coming in timidy at A$20.358 billion, as the floods in Queensland affected Christmas shopping.
Economists had forecast a 0.5 per cent rise for the month following the upwardly revised gain of 0.4 percent in November.
Household goods retailing, Clothing, footwear and personal accessory retailing, and Cafes, restaurants and takeaway food services recorded the largest rises in December 2010, up 1.5, 2.7 and 0.8 per cent, respectively. Turnover fell in Food retailing at-0.5 per cent, Other retailing at -0.8 per cent and Department stores at -1.2 per cent.
By region, sales in New South Wales were down 0.2 percent on month, followed by South Australia at -0.4 percent, the Northern Territory at -1.2 percent and Tasmania at -0.1 percent. Queensland was relatively unchanged. Sales in Victoria and Western Australia added 0.1 percent, along with the Australian Capital Territory at 0.3 percent.
JP Morgan economist Helen Kevans said the Queensland foods sent retail sales down for the month.
"In December we had the impact of the floods affecting sentiment."
"At the same time, petrol prices were higher. All this impacted on the numbers," she said.
Sales also fell 0.3 per cent in the fourth quarter from the third, in chain volume terms, meeting economists' expectations. Retail turnover, in volume terms, fell to $59.82bn in the fourth quarter from $60.02bn in the previous quarter.
The Australian dollar lost a quarter of a US cent to $US1.0114 shortly after the data was released.